Apple has lowered the daily AI tool spending allowance for some engineers to $200 from $300 last month, according to Bloomberg, and is considering cutting it to as little as $100 for some engineering teams. Some non-engineering groups already have $100 daily caps, and certain teams could be limited to $25 per day, with exemptions available from senior executives. The budgets cover AI tokens used via tools such as ChatGPT, Claude and Gemini. Bloomberg reported Apple is still expanding AI use across engineering and internal operations while tightening controls, including encouraging cheaper models and on-device AI. The article links this to a wider industry review of whether productivity gains justify rising token costs, citing Goldman Sachs restricting some AI coding tools.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Keywords
AAPLartificial intelligencetech stocks
Open a keyword to see other news on the same topic.
Related tickers and likely impact
AAPL
• NeutralApple Inc.
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Technology Hardware, Storage & Peripherals |
| Market cap | $5.1T |
| Close on 11/04/2026 | 349.62 |
| Change that session | +5.34% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- Apple cements its status as tech's biggest heavyweight with the stock's best day in over a year
Investors are turning to Apple as a safe haven. Meanwhile, AI infrastructure stocks are under pressure following the midterm election results.
- Apple Makes Big Push to Turn Siri Into an AI Platform
Apple is opening Siri AI to all app developers through a Developer Preview beginning with the iOS 27.3, iPadOS 27.3, macOS 27.3 and visionOS 27.3 betas. Using App Intents, developers can expose custom app actions that let Siri use personal context, onscreen content and natural-language understanding, and can build app skills for more complex, multi-step tasks. Thousands of developers had already built integrations for earlier Siri versions, but the deeper integrations are not expected to reach customers for several months, with App Store submissions opening in spring. Apple has yet to publish all commercial terms and usage policies governing these integrations.
- Apple opens up Siri to all apps as it continues to transform its voice assistant
Apple is opening Siri to all apps on the iPhone as it works to transform its voice assistant, which has drawn criticism for being less powerful than competitors such as Google. The revamped Siri AI, released with iOS 27 in September, can understand users' personal context and take actions based on it, but its features were initially limited to Apple's own apps. Third-party apps can now connect through “app intents,” a tool Apple introduced in 2022, allowing users to give commands such as changing a taxi destination or checking the status of a food order. The feature is available to developers in an early version of iOS 27.3 and will reach the public in “a few months,” requiring a device that supports Apple Intelligence, and will not be available in Europe due to ongoing regulatory issues with the EU.
- The AI sell-off saved Apple from a sell-off of its own
Apple shares fell 2% on Tuesday despite an earnings beat and strong iPhone sales, as investors focused on slowing services growth and projected lower margins. The article argues Apple may have been cushioned by its position among tech giants, as jittery investors moved money from Google, Amazon and Microsoft amid AI spending concerns. A chart cited in the piece shows Apple generated twice as much free cash as Microsoft, Meta, Alphabet and Amazon combined. HSBC analyst Nicolas Cote-Colisson said Apple is in a better position than many of its tech peers and keeps delivering record results, though its profit margin may be squeezed.
- What does it mean for the AI trade that Apple is the priciest 'Mag 7' stock?
Panelists debate whether Apple is too expensive at about 36 times forward earnings and what that signals for the durability of the AI trade. One speaker says Apple is getting too expensive, noting that Nvidia trades at 18 times forward earnings while Apple, which is not part of the AI trade, is the priciest Mag 7 stock at about 35 times. The speaker argues the market has been narrowly focused and now penalizes companies that spend heavily on growth, though part of the discount on some companies is valid. Another panelist cites a Goldman Sachs chart showing Apple's free cash flow yield relative to the Nasdaq has tended to trade in line, suggesting it may not be as expensive as many think.
- D.A. Davidson Managing Director Gil Luria Delivers His Apple Earnings Takeaways
In an NYSE Live interview, Gil Luria of D.A. Davidson discussed Apple's latest earnings and the wider tech sector. He argued that many AI-linked companies continue to report strong results and demand, and that recent share price weakness reflects election and policy caution more than the core AI business. On data centers, he said public concerns about noise and energy often reflect older designs, and that approvals are typically decided locally. On Apple, he noted signs of slowing iPhone upgrades after a strong prior year and margin pressure from price increases and rising memory costs. He said Apple's ecosystem and installed base still support its long-term position.
Related markets
Latest news
- Democrats to probe JPMorgan's relationship with Epstein when they take Senate control
Senate Democrats plan to investigate JPMorgan Chase's banking relationship with Jeffrey Epstein once they take control of Congress early next year, according to a source who spoke to CNBC. Staff on the Senate Finance Committee, likely to be chaired by Sen. Ron Wyden, intend to focus on how senior executives handled Epstein, particularly decisions by Mary Erdoes, CEO of the bank's Asset & Wealth Management business. JPMorgan did not immediately respond to a request for comment, and the probe has not been formally announced. Wyden has said he plans to make full use of the committee's subpoena powers.
- Dan Ives Sees Cash Flow Rebound In MSFT, META, GOOGL, AMZN: Says AI Bubble Fears Thrown Out The Window
Dan Ives, managing partner of Yorkville, said free cash flow at Microsoft (MSFT), Meta (META), Alphabet (GOOG, GOOGL) and Amazon (AMZN) could bottom in the first half of 2027 and recover over the following six months, with gains accelerating in 2028 and rising more sharply in 2029 and 2030. He expects capex growth at these Big Tech and hyperscaler firms to peak in 2027, earlier than his previous view of 2028 or 2029, and says the four companies could still spend more than $1 trillion on capex in 2027. Ives also forecasts debt and equity financing, including at-the-market offerings, to fall about 25% over the next year. Earlier, he warned of a 10% to 12% correction in the Philadelphia Semiconductor Index (SOX) after the Democratic midterm sweep and estimated that 10% of planned data centers might not be built.
- Republicans Suffer Heavy Defeat: Could the Diesel Oil Deal Already Be in Ruins While Trump Is Still in Office?
Financial Times sources say two of three Russian diesel tankers bound for the U.S. have diverted, raising doubts about the U.S.-Russia diesel deal. After the midterms, bipartisan lawmakers opposed lifting sanctions, Representative Gregory Meeks introduced a bill to block corrupt oil deals with Russia, and New Jersey Governor Mikie Sherrill warned that docking Russian tankers violates federal law. A third tanker is due in New York this weekend but could also divert. Yet U.S. fuel supplies have fallen below 100 million barrels, the lowest in over two decades, and Russian supply could ease price pressure; even if the bill passes, the President could veto it, and two-thirds of votes would be needed to override. Bloomberg, citing a source close to the Kremlin, says Russia could win more concessions, while The Conversation notes Trump, in office until 2028, retains broad foreign-policy powers.
- Meta's AI Buildout Runs Into a Political Problem
Meta President Dina Powell McCormick said at the Wall Street Journal Tech conference that the U.S. midterm results could make building new data centers significantly harder, while expanding existing campuses may be easier. Voters rejected or restricted nearly all of the 41 data-center-related ballot measures tracked across multiple states, and Democratic governor wins in Texas, Georgia and Ohio came with promises of tougher AI infrastructure scrutiny. Texas, which accounts for roughly a quarter of planned U.S. data-center capacity, has a governor-elect who called for a pause on new approvals until electricity, water, environmental and local concerns are addressed. Needham argues tighter rules could improve returns on invested capital for established hyperscalers such as Meta, Amazon and Google by slowing new supply. After the election, large tech stocks rallied while smaller data-center developers sold off.
- Jim Cramer's top 10 things to watch in the stock market Thursday
Cramer's Thursday list notes Dow futures rising and Nasdaq futures falling after a midterm-driven rally, following Wednesday's Nasdaq gain of nearly 1.5% and 3% jump in the Dow, even as key tech stocks fell on worries about the data center buildout. Qualcomm fell 10% on a weak forecast and Arm 7% after its post-earnings decline, while Snap dropped 11% after daily users fell year over year. HP named former GSK chief Emma Walmsley as CEO, and Citi raised its Stanley Black & Decker price target to $140 from $107. Cardinal Health beat expectations and raised its full-year profit outlook, and McDonald's rose 6.5% after earnings with several price target hikes, while Dutch Bros fell more than 11% on light comps, slowing traffic and a trimmed full-year outlook.
- Barkin sees interest rate hikes ahead, but at a gradual pace
Richmond Fed President Thomas Barkin said Thursday that the central bank will need to raise interest rates further, though he is unsure by how much or at what pace. In a CNBC interview at the Richmond Fed's 2026 CFO Summit, he voiced concern over inflation, saying unemployment is near record lows while inflation is too high. He said a gradual pace still makes sense given the uncertainty, and called inflation the most important risk right now. The Fed's benchmark rate is held at 3.75%–4%, and markets price a better than 80% chance of a December hike, according to CME Group's FedWatch tool.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.