Apple's AI push gathers steam as it reportedly acquires France-based startup

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Apple has reportedly quietly acquired Datakalab, a France-based AI startup. According to a report by the French publication Challenges, the acquisition was done in December 2023. Neither Apple nor the startup have confirmed the acquisition. However, all deals and acquisition in Europe have to be reported to the European Union. Earlier this month, the acquisition by Apple was reported to the European Union confirming that the deal was indeed closed.

The startup specialises in efficient AI systems for devices. This acquisition strengthens rumours about Apple introducing device-based AI features directly to its iPhones, iPads, and other devices.

According to Datakalab’s website, it is a French technology company that develops computer image analysis algorithms to measure flows in public space. “Datakalab does not store any images or personal data and only keeps statistical data. Datakalab products are built according to the principle of “Privacy by Design”. This is again in line with Apple’s intensive efforts on user privacy and data.

Recent reports — primarily from Bloomberg — have suggested that Apple's upcoming large language model (LLM) will function entirely on user devices, unlike most current cloud-based AI services. While this might limit Apple's AI capabilities compared to cloud-reliant competitors, Bloomberg's Mark Gurman suggests Apple might bridge the gap by licensing technology from companies like Google. Reports have suggested that Apple is in talks with Google about integrating Gemini AI on its devices. There have also been rumours about similar talks with Baidu for integrating AI services in China.

According to a report by Macrumors, Datakalab has collaborated with the French government and Disney in the past.  The startup has reportedly developed an AI system that claims to analyse human emotions through facial recognition technology. Apple is expected to make a splash of AI features for its devices at WWDC 2024 in June where iOS 18 and other software updates will be announced.