Apple CEO Tim Cook appears on the red carpet at the 96th Academy Awards held at the Dolby Theater at Hollywood and Highland Center on Sunday, March 10, 2024 in Hollywood, California. Jason Almond/Los Angeles Times—Getty Images
Apple Inc. has acquired Canadian artificial intelligence startup DarwinAI, adding the technology to its arsenal ahead of a major push into generative AI in 2024.
The iPhone maker acquired the business earlier this year, bringing dozens of DarwinAI employees to Apple's artificial intelligence division, according to people familiar with the matter. The people spoke on condition of anonymity because the deal had not been announced.
DarwinAI develops AI technology for visually inspecting components during the manufacturing process and serves customers in a variety of industries. But one of its core technologies is making artificial intelligence systems smaller and faster. The research could help Apple, which is focused on running AI on its devices rather than entirely in the cloud.
Alexander Wong, an AI researcher at the University of Waterloo who helped build the business, joined Apple as director of the AI ​​group as part of the deal.
Cupertino, California-based Apple said in response to a question about acquisitions that it “occasionally acquires smaller technology companies,” but did not discuss its plans.
Waterloo, Ontario-based DarwinAI has raised more than $15 million as of 2022, according to Canadian startup community Communitech. It has received investment from venture capital firms such as Honeywell Ventures and Innovia Capital. Communitech says the startup is also working with companies such as Lockheed Martin and Intel.
The low-profile acquisition comes ahead of Apple's big push into AI this year. The company is adding features to its iOS 18 software that rely on generative AI, the technology behind ChatGPT and other breakthrough tools. Chief Executive Officer Tim Cook has promised that Apple will “break new ground” with AI this year, with an announcement expected to be made at the company's global developer conference in June.
Apple lags behind the generative AI market, even though it has acquired more AI companies than most rivals over the past decade. The launch of OpenAI's ChatGPT in 2022 led to a slump, and technology peers like Google and Microsoft Corp. stole the show with new features.
Read more: Apple prepares AI tool to rival Microsoft's GitHub Copilot
Internally, Apple has begun to integrate generative AI into its operations, using technology to assist with customer service requests. The company also plans to add features to the software that automatically create presentations and complete blocks of text. And Apple is working on a new version of its Xcode programming software that uses AI to help developers write code.