Apple Inc. (NASDAQ:AAPL) turns 50, evolving from a near-bankrupt company in the 1990s to a $3.6 trillion tech giant. According to Wedbush analyst Dan Ives, the next chapter won't focus on hardware but on AI.

Ives highlights Apple's unmatched legacy, from the Macintosh to the iPhone, and its edge in controlling the entire tech stack — chips, software, and services — with 2.5 billion iOS devices globally. This ecosystem now positions Apple to lead in AI, but it also raises the stakes.

WWDC: The AI Moment

Apple has come a long way since 1997, when the Cupertino, California-based company was on the brink of collapse and posted a $1 billion loss.

That year, Apple’s late co-founder Steve Jobs returned, streamlined the focus on just a few core products, and introduced the “Think Different” campaign, which helped restore consumer confidence. Also in 1997, Apple secured a critical $150 million investment from Microsoft, which helped keep the company afloat.

Nearly three decades later, Apple is one of the most successful and valuable companies in the world, and on pace to cross $1 billion in AI revenue this year from commissions alone.

Ives expects Apple to lay out its long-awaited AI strategy at the company’s annual Worldwide Developers Conference (WWDC) in June. He expects a sharper focus on Siri's evolution into a more personalized, context-aware assistant. After last year's muted showing, expectations are high.

He points to potential integration with Google's Gemini models, alongside new developer tools and APIs aimed at embedding AI deeper across Apple's ecosystem — with privacy and on-device processing as key differentiators.

Hardware Meets AI Tailwinds

2026 is set to be a pivotal year for Apple's product cycle.

Ives points to AI-ready devices, advanced silicon, and a potential foldable iPhone as key catalysts. But the real shift may lie ahead, with growing anticipation for a subscription-driven AI services layer.

After 50 years of reshaping tech interaction, Ives argues the next challenge for Apple is both simpler and harder: turning its ecosystem into an AI powerhouse.

Image: Shutterstock