Apple Poises to Announce New Tech in the Annual Showcase/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ Apple enters its 2025 Worldwide Developers Conference facing mounting pressure over AI delays, market competition, and renewed U.S.-China trade tensions. The company is expected to focus on software updates and rebranding efforts as it scrambles to close the AI innovation gap. CEO Tim Cook remains optimistic despite investor unease and regulatory challenges.
Apple WWDC 2025 Quick Looks
- AI Growing Pains: Siri upgrades delayed, trailing Google, Samsung, and ChatGPT.
- Software Overhaul: iOS could be renamed to iOS 26 this fall.
- Investor Jitters: Stock down 20% YTD, $750 billion in value lost.
- Trump Trade War Returns: China tariffs may increase Apple’s costs.
- Developer Focus: More subdued WWDC expected, less flashy hardware.
- Regulatory Heat: Courts target Apple’s App Store and search revenue.
- What’s Next: Analysts question Apple’s post-iPhone innovation roadmap.
Deep Look: Apple’s WWDC 2025 Clouded by AI Delays, Trade Turmoil, and Innovation Doubts
As developers gather at Apple Park for the company’s annual Worldwide Developers Conference (WWDC), the tech giant finds itself on the defensive. Once the undisputed leader in innovation, Apple now faces intensifying scrutiny over its lagging artificial intelligence (AI) capabilities, mounting regulatory pressure, and growing instability in its global supply chain — particularly due to the rekindled U.S.-China trade war.
This year’s conference is expected to emphasize software refinements rather than revolutionary hardware or AI breakthroughs, marking a sharp contrast to the buzz surrounding previous WWDCs in 2023 and 2024.
AI Missteps: Siri Stalls, Competitors Surge
Apple’s virtual assistant Siri, once heralded as the future of voice-based computing, has become a symbol of the company’s AI stagnation. A year after Apple hyped a “smarter Siri” at WWDC 2024, major updates remain unreleased.
“It’s just taking a bit longer than we thought,” admitted CEO Tim Cook during a recent earnings call.
While Apple delays, rivals are accelerating. Google’s Pixel smartphones and search platform are infused with cutting-edge AI, and Samsung’s AI-focused devices are gaining traction. Even OpenAI’s ChatGPT is encroaching, recently teaming with former Apple designer Jony Ive on a next-gen mobile device that could rival the iPhone.
“For Apple, the AI race is still on, but they’re not leading anymore,” said Forrester analyst Dipanjan Chatterjee.
What to Expect from iOS 26
Despite its AI struggles, Apple is expected to unveil a major refresh to iOS, possibly renaming the next version iOS 26 (skipping several version numbers) in a nod to the auto industry’s year-based model naming.
The update, due for release this fall, will likely include:
- A new visual design for core iPhone apps
- Enhanced widget interactivity
- Improved privacy controls
- Backend support for future AI integration
Though lacking the dazzle of new devices, these changes reflect a shift in Apple’s WWDC tone: from flash to function.
$750 Billion Lost and Falling
Apple’s market performance underscores its current vulnerability. The company’s stock has plummeted nearly 20% in 2025, wiping out over $750 billion in market value and dropping Apple from the world’s most valuable company to third place — behind Microsoft and Nvidia, both AI leaders.
Investors are rattled by Apple’s:
- Lack of standout AI products
- Weak Siri performance
- Legal challenges around App Store revenue
- Heightened China trade exposure
“Apple isn’t falling apart,” said analyst Thomas Husson. “But right now, they aren’t setting the agenda either.”
Legal Challenges Threaten Revenue Streams
Apple is also navigating legal landmines on multiple fronts. Two court rulings threaten to undermine the company’s lucrative business deals:
- App Store Regulation: A recent federal decision blocks Apple from collecting commission on purchases made outside its payment system.
- Search Deal Pressure: Apple’s $20 billion-per-year search partnership with Google may be banned as part of broader antitrust remedies.
These developments could drastically reduce revenue available for R&D, adding pressure as the company races to catch up in AI.
Trade War Fallout: Tariffs Back in Focus
President Donald Trump’s trade war with China has reignited, placing Apple — heavily reliant on Chinese manufacturing — in the crosshairs. Although CEO Tim Cook convinced Trump to exempt the iPhone from tariffs during his first term, he has had less luck this time.
Trump’s second-term administration appears more committed to compelling Apple to shift production to the U.S.
“The trade war and tariff policy is more worrisome for Apple right now than AI perception,” Husson explained.
If tariffs intensify, production costs could spike, threatening Apple’s margins and complicating global logistics.
What Comes After the iPhone?
At the heart of Apple’s current crossroads lies a larger question: What’s next? The iPhone, now in its third decade, still drives most of Apple’s revenue. Yet competitors are working on devices that may leapfrog traditional smartphone design.
“Apple’s not out of time, but the clock is ticking,” said Chatterjee. “This WWDC might not answer that question — but investors and consumers alike are asking it.”
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