Apple buys French AI firm for advanced AI capabilities

Apple has added a new company to provide new artificial intelligence (AI) capabilities in the next generation of iPhones and the iOS operating system.

A report from the French publication Challenges reveals that Apple has completed an acquisition of Paris-based AI startup Datakalab. It was known for image analysis and edge computing to track information from videos in real time.

The transaction for this new acquisition was completed on December 17 and notified to the European Commission. With 100 percent ownership going to the new owner but deal’s amount is unknown.

This news comes as Apple intensified efforts to revive sluggish iPhone sales and declining business. Earlier this year, CEO Tim Cook indicated that the Cupertino-based company is cooking big AI features for new iPhones.

These new features will take shape in the upcoming release of iOS 18 at the WWDC conference in June this year. Apple has prepared a bunch of new changes with on-device AI technology.

A tech that enables manufacturers to use advanced AI in-device without relying on an active internet connection. Apple has been working on a new AI architecture for a flagship chipset scheduled to launch with the iPhone 16 Pro series in the second half of 2024. This chip is expected to boost computing power and a much-needed support for Apple’s AI ambitions.

Unlike Cloud-based large language models (LLMs), this year’s iPhones will root for local and small language models. Despite limited processing and verification capabilities, small models could come in handy for AI app features.

Apple has been planning to upgrade numerous native apps with AI capabilities to improve productivity. The new spotlight search will get more diverse results through the device and internet combined using new on-device AI.

That is one example of what Apple is considering putting forth with the next iOS release. However, the company has not completely abandoned cloud-based AI.

Previous reports suggest that Apple is talking to AI giants Google, OpenAI, and even China’s Baidu to use their cloud-based AI resources. However, an official announcement has not been made.