California. Apple is set to roll out a free software update that will introduce its first wave of artificial intelligence features to the iPhone 16 lineup as the company seeks to keep pace with the latest tech trends.

The upgrade to the iOS 18 operating system, scheduled for Monday, follows the launch of four iPhone 16 models that went on sale over a month ago. These models, priced between $800 (Rp 12.58 million) and $1,200, come equipped with the specialized chip necessary for the new AI capabilities. Last year’s premium models—the iPhone 15 Pro and iPhone 15 Pro Max—will also support the AI features after the update.

The new software will also be available for recent versions of Apple’s iPad and Mac computers. However, customers outside the US will have to wait until next year for the AI update, with the exact date yet to be determined. Apple has spent the past five weeks testing the AI software with a select group of iPhone users who volunteered to help refine the technology.

One of the main improvements is expected to transform Apple's often clumsy virtual assistant, Siri, into a more conversational and versatile companion. Siri’s new capabilities will be indicated by a glowing light that circles the iPhone’s screen while it processes requests.

While Apple claims that Siri will perform more tasks with greater accuracy, it will not be able to interact with other apps installed on the iPhone until a future update is released, with the timing still unspecified.

The update will also include various AI features for writing and proofreading tasks, summarizing emails and documents, and providing editing tools for photos to simplify finding older images. Future updates are expected to offer additional functionalities, such as the ability to create customized emojis on demand and generate other imaginative imagery. Apple also plans to eventually integrate OpenAI’s ChatGPT to assist users with requests.

Many of the AI features Apple unveiled on Monday are already available on Android devices from Samsung and Google, released earlier this year.

To differentiate its AI approach from early leaders in the field, Apple is marketing its new technology suite as “Apple Intelligence.” The company emphasizes that its AI features will prioritize user privacy by either processing data on the device or in secure data centers for tasks requiring remote processing.

Since most existing iPhones do not have the necessary chip for the new AI capabilities, demand for the new models is expected to surge during the holiday season and into next year. This anticipated demand has driven Apple's stock price up by 18% since it previewed its AI strategy at a conference in early June, increasing the company's market value by about $500 billion and bringing it closer to becoming the first U.S. company valued at $4 trillion.

Investors will get their first insight into the performance of the iPhone 16 on Thursday, when Apple releases its quarterly financial results for the July-September period, which includes the first few days of sales for the new models.

Demand for high-end iPhone 15 models saw a rise as prices fell and excitement surrounding Apple’s entry into the AI market grew, according to a recent analysis by International Data Corp. (IDC). Apple’s iPhone shipments increased by 3.5% year-over-year, reaching 56 million worldwide during the July-September period, making it second only to Samsung. The key question now is whether the gradual rollout of AI features will entice owners of older iPhones to invest in the new models during the holidays, effectively "future-proofing their purchases," as IDC analyst Nabila Popal noted.

Indonesia Still Bans iPhone 16

However, consumers in Indonesia will have to wait longer to experience these AI features. iPhone 16 devices are currently banned from sale in Indonesia due to issues with local components. While travelers, flight crews, and courier services can bring in devices for personal use, official sales are on hold.

Indonesia's Industry Minister, Agus Gumiwang Kartasasmita, said that iPhone 16 units cannot be sold domestically until Apple fulfills its investment commitments to obtain local component certification (TKDN) through an investment scheme. Apple has pledged to increase its investment by an additional Rp 240 billion, raising its total investment from Rp 1.48 trillion.

Once Apple meets this investment requirement, the government will allow the latest iPhone, officially launched on Sept. 20, 2024, along with other new Apple products, to enter the Indonesian market.

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