Apple has stepped into the generative AI arena with the launch of Apple Intelligence on its iPhone and Mac platforms. As of now, only a limited selection of the much-anticipated AI applications are live, with a significant update, including the integration of ChatGPT into iOS and macOS, slated for December.

This is a significant move for Apple, traditionally known for its tightly controlled ecosystem and stringent data privacy standards. The adoption of ChatGPT not only marks Apple’s openness to collaboration within the broader AI community but also reflects an effort to catch up with competitors in the AI field.

However, the integration of ChatGPT into Apple Intelligence introduces additional costs for users. Juli Clover of MacRumors reports that the upcoming iOS 18.2 update, expected in December, includes settings that limit daily ChatGPT usage and offer users the choice to subscribe to the premium ChatGPT Plus plan or revert to a previous AI model. Those already subscribed to ChatGPT Plus can use their accounts on their iPhones, while new users have the option to subscribe via their device. Whether Apple will enforce its standard 30% fee on the $19.99 monthly subscription has not been confirmed.

Unlike Google and Samsung, which have initially offered their AI tools for free to drive platform adoption, Apple has opted to introduce a freemium model from the outset. It’s important to note, however, that Google and Samsung’s terms indicate that charges may apply in the future.

Apple’s cautious rollout of generative AI contrasts with its aggressive marketing tactics. Despite the iPhone 16 launching a month prior to Apple Intelligence being publicly available, promotional materials largely omitted this delay. The AI features have been prominently highlighted in the new iPhone’s marketing, compelling mobile networks in the UK to modify their advertisements to note the AI features’ delayed release.

As generative AI transforms user experiences across various platforms, the direct cost to consumers introduced by Apple could significantly impact the adoption of Apple Intelligence. Comparing these costs against the subsidized AI offerings on Android and Windows will be crucial in the coming months.

This strategic pivot by Apple is set to redefine consumer expectations and alter the competitive landscape in the smartphone industry, as users evaluate the trade-offs between advanced AI capabilities and the associated costs.