Tech analyst Dan Ives said the market is waiting for a clear artificial intelligence strategy from Apple (AAPL), noting that an AI partnership with Alphabet (GOOGL)(GOOG) could be the catalyst investors are looking for.
“The main thing you’re waiting for in Apple is now setting the stage the drum roll for what’s going to be the Google AI partnership. I mean, that’s really like how you get, like, a $400 stock,” Ives talking to StockMKTNewz, said.
Ives’ comments come a day after media reports suggested that Apple (AAPL) will partner with Google’s AI model Gemini to power a revamped version of its voice assistant Siri for spring 2026.
Goldman Sachs strategist David Kostin also backed Ives’ view on the iPhone maker. “Dan Ives is pointing to the real issue here. The market is waiting for a clear AI narrative from Apple. If Apple partners with Google on AI at a meaningful level, the valuation framework shifts from hardware cycles to platform monetization,” he said.
Ives in the talk also noted that Apple (AAPL) made “major strategic mistakes” by not doing acquisitions. “They could have bought perplexity,” he said.
“But guess what? Like now, they have no choice; like Google has to be the all-in partner and now, and also for Google, remember, $20 billion a year is probably going to be $30 billion,” Ives said in the interview.
Last week, Apple (AAPL) reported fiscal fourth-quarter results that topped estimates, but revenue attributed to the iPhone fell short of Wall Street’s forecast.