What We Learned This Week

Apple WWDC Light on AI Updates: Apple held its annual developer conference this week, where it unveiled updates to its operating systems and gave a preview of features in the pipeline. Expectations were relatively muted heading in, especially around AI, given the company’s underwhelming rollout last year. At the time, Apple introduced its long-awaited AI strategy and teased upgrades to products like Siri—but a year later, most of those features still haven’t launched, and any mention of timelines has quietly disappeared. This year’s event focused largely on a visual redesign called “Liquid Glass,” Apple’s first major aesthetic overhaul since 2013, along with a handful of incremental AI features and expanded partnerships with players like OpenAI.

The lack of any meaningful new AI developments raises valid questions about Apple’s positioning in this space. The company has historically taken a wait-and-see approach with new technologies, only jumping in once the market matures and risks are better understood. That caution has served them well in hardware—but in AI, where iteration and risk-taking are the norm, it may be holding them back. Unlike peers like Microsoft, Meta, or Google, Apple appears reluctant to embrace the inevitable trial-and-error phase that comes with pushing the frontier. The question now is whether their strategy allows them to catch up—or if the gap continues to widen.

AI for Baristas: Starbucks is expanding its partnership with Microsoft to roll out “Green Dot Assist,” an OpenAI-powered tool aimed at simplifying day-to-day operations for baristas. The assistant, currently launching in 35 stores with a broader rollout planned for fall, allows staff to ask natural-language questions—like how to make a specific drink or troubleshoot equipment—without digging through outdated manuals or intranet pages. It’s part of new CEO Brian Niccol’s broader turnaround effort focused on streamlining operations, improving training, and reducing friction in-store.

Beyond Starbucks, this is another signal of how AI is starting to seep into frontline jobs. If successful, tools like this could change how service roles are structured—simplifying tasks, reducing onboarding time, and potentially shifting staffing needs. The company says it’s working to ensure accuracy with grounded data, but like many early use cases, it will be closely watched. Starbucks may just be a testing ground, but the implications stretch far beyond coffee.

Some Relief on Trade and Inflation: Markets held up reasonably well into the end of the week, helped by a couple key developments. First, the latest CPI report came in slightly cooler than expected, with year-over-year inflation at 2.7% vs. the 2.8% consensus. It’s not a huge beat, but in this environment, even small wins in the right direction are welcomed by investors—especially with questions still looming around the long-term impact of tariff-related price pressure over the coming months.

We also saw renewed dialogue between the U.S. and China, with trade talks taking place in London. The White House suggested a deal had been reached, though details remain vague. For now, it appears to be more of a continuation of the current standoff than any kind of material shift—rates will likely stay around 50% for the U.S. and 10% for China. Both sides have clear leverage: the U.S. needs access to rare earth materials, and China depends heavily on U.S. consumer demand. As long as tensions don’t escalate and inflation remains in check, markets should stay relatively stable for now.