Apple is bringing ChatGPT to the iPhone in partnership with OpenAI ...

Apple unveiled a long-awaited AI strategy on Monday, integrating Apple Intelligence across its suite of apps, including Siri, and announced a partnership with OpenAI to bring ChatGPT to its devices.

With these moves, the iPhone maker is seeking to reassure investors that it has not lost the artificial intelligence battle to Microsoft, even though it may have forfeited a few rounds. Microsoft took an early lead in the race to commercialize AI through its bet on OpenAI.

The AI features were unveiled at Apple's Worldwide Developers Conference, and the tech giant also showed its latest operating system for its Vision Pro mixed-reality headset and iPhone.

WATCH | Apple launches Apple Intelligence to integrate AI across its apps:

Partnering with artificial intelligence company OpenAI, Apple announced its iPhones would begin adding AI features. The companies are seeking to improve the virtual assistant Siri by turning it into more of a chatbot.

The company said the new AI features will come with the latest software for its devices and allow users to summarize text and generate other content, such as personalized animations to send a friend birthday wishes.

Apple said the ChatGPT integration would be available later this year and that other AI features will follow. The chatbot could be accessed for free, and users' information will not be logged, the company said.

As part of the updates, a revamped Siri will also tap into ChatGPT's expertise and seek permission from users before querying the OpenAI service.

Apple plans to target consumers, not companies

While its AI rivals are targeting enterprises, Apple plans to stand out by making the technology relevant to its more than one billion users — most of whom are not tech aficionados.

Apple said iOS 18, the software powering its flagship device, makes the iPhone home screen easier to customize and includes improved versions of its in-house apps.

The new software will also come with a "lock an app" feature that will help people protect sensitive information. Users can opt to lock specific apps and keep data more tightly controlled in the operating system.

Apple also said it would group messages in its email client starting later this year — categorizing them in a primary folder, a transactions folder, a promotions folder and other more specific groupings, such as communications by an airline.

The high-level categorizations are similar to a now-old feature in competitor Google's Gmail.

Apple said it would make its mixed-reality headset Vision Pro available in eight more countries, including China and Japan. The new VisionOS 2 software for the headset will use machine learning to create natural-depth photos and come with new gestures.

LISTEN | Can OpenAI develop artificial intelligence safely?:

This week, OpenAI announced it was suspending the use of one of its new ChatGPT voices after Scarlett Johansson accused the company of imitating her voice without her permission. Meanwhile, multiple senior employees have resigned, citing concerns about the company's commitment to developing AI safely. Sigal Samuel, a senior tech reporter for Vox, unpacks what's going on with the company.

Apple uses the developer conference at its Cupertino, Calif., headquarters each year to showcase updates to its own apps and operating systems, as well as to show developers new tools they will be able to use in their apps.

The company has been using AI behind the scenes for years to power features on its devices, such as the ability of its watches to detect crashes and falls. But it has been reluctant to tout how this technology boosts functionality in its devices, as Microsoft has done with the help of its early bet on OpenAI.

Microsoft overtook Apple as the world's biggest company by market capitalization in January, and Apple's shares have trailed those of other Big Tech companies this year.

AI chip giant Nvidia briefly overtook Apple last week as the world's second-most valuable company, underscoring for some investors a shift in power in the tech world.