Apple (NASDAQ:AAPL) shares jumped Wednesday afternoon after Bloomberg reported that the tech giant is quietly working on artificial intelligence tools that could contest those of OpenAI, Alphabet's (NASDAQ:GOOGL) Google, and others.
Apple shares are currently trading above $195 per share. Meanwhile, Alphabet is down almost 1%, while Microsoft (NASDAQ:MSFT) is 1.3% lower at the time of writing.
However, Bloomberg said the iPhone maker is yet to develop a clear strategy for releasing the technology to consumers.
According to the publication's sources, Apple has made its own framework to create large language models, which are the AI-based systems that help to run AI bots such as ChatGPT and Google's Bard.
Apple's own large language model framework is said to be called "Ajax," which runs on Google Cloud and is built with Google JAX. Apple is said to have multiple teams working on the project.
In May, it was reported that Apple had restricted its employees' use of ChatGPT, but Bloomberg said engineers at Apple have now been using the company's Ajax-powered chatbot internally, with the publication stating it was created to "unify machine learning development."
Apple has yet to enter the AI space, while competitors such as Microsoft and Google have powered ahead. However, recently in an interview, Apple CEO Tim Cook said AI technology is something they are “looking at closely.”