Apple faces AI test at WWDC as Siri overhaul aims to support valuation

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Apple faces AI test at WWDC

Highlights

Apple will unveil a significantly upgraded Siri with chatbot features, on-screen awareness, and support for outside models like Google Gemini at WWDC.
Apple stock trades at an all-time high, about 36 times trailing earnings and valued $1.6 trillion higher year-over-year, with much AI upside already priced in.
Widespread developer adoption of Siri's new App Intents remains uncertain due to App Store economic concerns, despite early partners like Uber, Amazon, and YouTube.

Siri upgrade sets the tone for WWDC

As reported by CNBC, Apple is expected to make an overhauled Siri the centerpiece of WWDC as the company tries to deliver on artificial intelligence promises made two years ago. Analysts expect a more capable assistant with a standalone chatbot-style app, personal context, on-screen awareness, support for multi-step commands and deeper routing to outside models, potentially including Google's Gemini.

That presentation carries added weight because WWDC is described as Tim Cook's final developer conference as CEO before John Ternus takes over. Dan Newman, CEO of The Futurum Group, told CNBC that Apple Intelligence is one of the biggest weak points of Cook's tenure, and said Apple now needs to show it can use its vast installed base while giving developers a reason to build on Siri.

Valuation and developer support remain central risks

MoffettNathanson said this week that Apple's stock has already priced in much of the artificial intelligence upside that the company still has to prove. The firm said Apple enters WWDC at an all-time high, trading at about 36 times trailing earnings and valued roughly $1.6 trillion higher than a year ago, even as it continues to benefit from a strong iPhone cycle, improving momentum in China and resilient services performance.

The larger question for investors is not whether Apple announces a better Siri, but whether that improvement is enough to support a valuation that already assumes the strategy works. MoffettNathanson said Siri needs to become credibly agentic, moving beyond simple commands to reliably handling multi-step actions across apps, and that depends heavily on outside developers adopting App Intents.

That creates what the firm called a chicken-and-egg problem, because Siri becomes more useful only if enough developers support it, while developers may hesitate until they see clear consumer demand. Apple has reportedly lined up early App Intents partners including Uber, Amazon, Temu, YouTube, WhatsApp, Facebook, Threads and AllTrails, but tensions over App Store economics could still make some developers cautious about giving Apple greater control.

In our earlier analysis of Apple (AAPL), we noted that the stock was holding a bullish technical setup while investors weighed compliance and regulatory developments. The piece highlighted Apple’s removal of Russia’s state-run messaging app from the App Store and its submission of financial data to India’s antitrust authority, framing these moves as both governance positives and sources of ongoing uncertainty. Against that backdrop, the report argued AAPL could consolidate near-term while traders watch for the next major catalyst.

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