Apple unveils Iphone 16 and plans AI tool launch in the coming weeks

Apple has unveiled its brand new Iphone 16 models and revealed plans to launch its new artificial intelligence (AI) tool, Apple Intelligence, in the coming weeks.

At its hotly anticipated annual event in the Steve Jobs Theater in California, the technology giant also revealed an updated version of its Apple Watch, the Apple Watch Series 10, alongside new Airpod headphone.

Its latest gadgets, announced at the “It’s Glowtime” event, came alongside revelations surrounding Apple Intelligence, the company’s AI software that is forecast to significantly increase sales.

Apple is attempting to entice investors on its prospects with the nascent technology amid a growing global race between the biggest players in tech.

The Iphone 16 has an A18 chip designed to work with AI features and will have the capability to “challenge high-end desk-top PCs,” according to Apple. It will set buyers back $799 (£610.8), while the Iphone 16 Plus will cost $899.

Impressive features include a new action button on the side of the, which will allow voice memo recording, translation and song downloading through a click. Satellite connectivity upgrades will also enable users to call for breakdown assistance even when they have no signal.

The Iphone 16 Pro Max will have the largest Apple display ever at 6.9 inches. Colours for the Apple’s premium makes include black, white, silver and desert.

Apple Intelligence, available as a free software upgrade from next month, will bring a string of new AI features to phones. Users will, for example, be able to create new emojis via text commands. It will be rolled out in the US in the next few weeks, before launching in the UK in December and other European countries in 2025.

Apple also unveiled the Apple Watch Series 10, which it says will have the fastest charging time and biggest display of any Apple wearable yet, with prices starting at $399. It will also allow music to be played directly from its speakers. Three colours are on offer, which include silver aluminium, jet black and rose gold.

Apple has also announced updates and redesigns of its range of Airpod headphones. The company is launching a new model, Airpods 4, which it says will be the most well-fitting yet.

New machine learning technology will let users interact with Siri simply by shaking or nodding the head.

The premium AirPods Pro will now be able to carry out a hearing test. The iPhone will play a series of sounds, asking you to tap the screen when you hear a tone.

If it finds that your hearing is on the blink, the AirPods Pro will then be able to adjust sound signals so that your can hear music and phone calls better, and boost speech in face-to-face conversations.

Upgrades to the Airpods Pro also mean users will now be able to carry out hearing tests, with the device then able to adjust music and phone calls accordingly. The firm described the new headphones as a “clinical grade hearing aid” in the update.

The announcement of Apple Intelligence will do much to shake off accusations Apple is lagging behind peers in the field of AI. Competition has come from the likes of Samsung’s Galaxy S24 and Alphabet’s Google Pixel 9.

Ahead of the launch, AJ Bell investment director Russ Mould said: “In the six months leading up to the latest iteration of the device, Apple’s shares are up by 29 per cent, well ahead of the average 21 per cent gain that preceded prior launches, so iPhone 16 has a lot to live up to, especially as Apple’s stock has had a habit of running up strongly ahead of a new release and then doing relatively little in the immediate aftermath.

Skepticism surrounding AI has proved a challenge for technology stocks. The so-called Magnificent Seven of Alphabet, Amazon, Apple, Meta, Microsoft, NVIDIA and Tesla have already shed $2.5trn (£1.91trn), or 15 per cent, of their combined market cap since a July peak.

“Apple’s shares have proved the most resilient among the septet, with a drop of barely 5 per cent since mid-July, compared to a retreat of nearly a quarter at NVIDIA,” Mould said. “This may be due to how the real driver of Apple’s business now is higher-margin services rather than hardware sales.”