iOS 27 Leak: Apple to "completely redo" Siri, system-level integration of AI

Apple "completely overhauls" Siri, upgrading it from a voice assistant to an AI platform with multimodal interaction capabilities. According to Bloomberg, citing sources, Apple plans to launch iOS 27 at the Worldwide Developers Conference (WWDC) on June 8. Core updates include: a redesigned Siri interface, a brand new underlying model leveraging Google Gemini technology, AI-driven web search capabilities, and a standalone Siri app rivaling ChatGPT. This is the largest restructuring of Siri in nearly 15 years, and is expected to be available to consumers as early as September, just ahead of the launch of Apple's fall iPhone 18 Pro series and its first foldable-screen iPhone. Wallstreetcn mentions that this week, BofA Securities analyst Wamsi Mohan sharply raised Apple’s target price from $330 to $380. The new Siri may bring up to $65 billion in incremental revenue by 2030. The success or failure of these AI features will directly affect consumer desire to purchase new hardware and impact Apple’s competitive position versus OpenAI, Google, and Samsung. This may be CEO Tim Cook’s last major launch, after which he will hand over leadership to John Ternus. Siri Completely Rebuilt: From Voice Assistant to System-Level Executor Apple has redesigned Siri’s interaction entry point to deeply integrate it into the iPhone's hardware architecture. The new Siri will be embedded in Dynamic Island as a "resident agent," capable of accessing personal data, web content, and screen information on the device at any time to perform tasks. Apple has designed two activation methods for the new Siri. The traditional method—calling "Siri" or long-pressing the power button—will trigger a new animation effect within Dynamic Island, suitable for voice queries and search scenarios. A brand new method allows users to swipe down from the central top of the screen to instantly pull up a new "search or ask" interface supporting both typing and voice. It can launch apps, send messages, check weather, add calendar events, search notes, or activate Apple’s new AI-powered web search system. The Notification Center entry is now triggered by swiping down from the top left corner of the screen. Apple also plans to launch a standalone Siri app for the first time, with logic similar to AI assistants like ChatGPT and Claude. It includes conversation history lists, multi-turn chat interface, an attachment picker supporting document and image uploads. Users can scroll down further in the Siri results interface to enter the app’s full conversation view. Gemini Technology Empowerment: Hybrid Local and Cloud-Based Inference Siri's underlying model has been completely rebuilt, introducing Google Gemini technology and AI-driven web search capabilities, competing with tools like Perplexity. According to Bloomberg, Apple will use the full Google Gemini model for distillation onto locally running small models, enabling local inference on Apple devices. However, since the full Gemini model's parameter size is in the trillions, Apple’s internal Private Cloud Compute infrastructure cannot fully support it, so some AI queries will still rely on Google’s cloud infrastructure. To balance cloud processing and privacy commitments, Apple recently approved the use of Nvidia’s Confidential Compute technology on Google Cloud environments. This tech protects user privacy by encrypting data and models during processing, at the cost of slightly reduced cloud processing speed. Nonetheless, Apple may continue using the Private Cloud Compute brand name. Meanwhile, Apple is actively seeking acquisitions to help compress model size and achieve more robust local inference. Cambridge-based device-side AI startup Liquid AI is reportedly a potential acquisition target. AI Upgrades for Camera & Photos Apps: Catching Up with Google and Competitors This upgrade integrates Siri into the Camera app for the first time, as a standalone mode alongside Photos and Videos. This will replace the current "Visual Intelligence" experience, supporting AI analysis of captured content by third parties or Google Image reverse search. Apple is moving this entry point from the current camera control button to the main interface to expand the reach of visual AI and cultivate user habits for future products like smart glasses or camera-equipped AirPods. The Camera app itself will get customizable upgrades, adding a "widget panel" so users can adjust the top quick-access bar, prioritizing professional controls like depth adjustment, timer, night mode, etc. In the Photos app, Apple plans to introduce two new AI tools: Reframe and Extend. Reframe lets users adjust photo perspective; Extend uses AI to generate extended image content—for instance, filling in the lower half of a building that's cut off in the original shot. Google and other competing platforms have offered similar features for years. Valuation Logic: Can AI Entry Value Translate into Service Profits? Apple’s current business model is still centered on hardware. In fiscal year 2025, product revenue is $307 billion (about 74% of total), services revenue is $109.2 billion (about 26%). However, service gross margin is 75.4%, far higher than the product side’s 36.8%; services now account for about 42% of total gross margin. This means any entry point boosting service usage and transaction frequency has strong leverage effects on Apple’s profit structure. BofA Securities’ price target upgrade increases the valuation multiple from 32x to 37x 2027 expected earnings per share, based on Apple potentially regaining pricing power in service, transaction, and entry layers in the era of agentic AI. Potential sources of incremental revenue include Apple Intelligence Pro subscriptions, default model routing fees, App Store agentic ecommerce commission, Apple Pay routing fees, and advertising revenue from agentic results. But BofA also points out the greatest uncertainty: Siri has historically disappointed the market. If user task habits have already migrated to ChatGPT, Gemini or Claude, Apple may still control hardware and permissions, but the AI value it can capture will shrink dramatically. Risk Disclaimer The market carries risks; investment requires caution. 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