Fast Facts
- Apple is reportedly exploring the development of personalized robots.
- The move comes just a few weeks after Apple shut down its electric car project.
- Wedbush analyst Dan Ives said such a push into home robotics would be a "horror show."
Just a few weeks after abandoning its electric car project, Apple (AAPL) , according to a Bloomberg report, is exploring the field of personal robotics.
Teams of engineers, according to the report, have been working on developing a small, personal robot that would follow people around their homes. The project is still in its early research phase.
Related: Report: Apple's already eyeing its next big thing
People familiar with the project told Bloomberg that the personal robotics push could be the "next big thing" for the company, though the report added that Apple has yet to commit to the project.
Apple did not immediately respond to a request for comment.
Wall Street reacts
Wedbush analyst Dan Ives told CNBC Thursday that, if the project comes to fruition, it would serve as nothing but a distraction from the key area that Ives thinks Apple ought to be focusing on: artificial intelligence.
"It would be a horror show if they actually spent money on robots," Ives said. "They need to focus on AI."
Ives added that Apple CEO Tim Cook's "legacy is going to be AI. If they went after robots, that would be a black-eye moment for Apple."
Ives, who has remained bullish on Apple despite recent stock pressure, is convinced that AI is the real next big thing for the iPhone makers.
“We believe the 'Super Bowl moment for Apple' will be when Cook & Co. finally take the covers off the generative AI technology being worked on in the labs of Apple Park and introduce it to developers and consumers at WWDC in June followed by the exclusive AI features we expect to be included on iPhone 16,” Ives said in a February note.
Ives said in a note Thursday that the AI revolution is in full swing. He expects tech stocks to rise another 15% for the year.
Cook in February said that Apple sees “incredible breakthrough potential for generative AI, which is why we're currently investing significantly in this area.” He added that Apple intends to finally go public with its efforts in generative AI later this year.
Deepwater Management's Gene Munster, unlike Ives, said Thursday that it makes sense for Apple to have a small project to explore home automation.
But he doesn't expect it to amount to much.
"That said, I put the probability that we see a product in the next five years at slim to none," Munster wrote. "As a reminder, Apple works on a lot of things that never see the light of day."
Shares of Apple, down around 12% for the year, closed Thursday down slightly. The stock pushed up around .7% in pre-market trading Friday morning.
Contact Ian with tips and AI stories via email, ian.krietzberg@thearenagroup.net, or Signal 732-804-1223.
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