According to Mohanbir Sawhney, McCormick Foundation professor of technology at the Kellogg School of Management at Northwestern University, sheets of glass are simply no longer the most fertile ground for innovation.
"That means Apple urgently needs to shift its focus and investment to AI-driven technologies, as part of a broader effort to create the kind of ecosystem Amazon and Google are building quickly," Sawhney wrote in Fortune.
According to him, Apple has reached its peak with "super premium" iPhone X and "does not represent the beginning of the next 10 years of the smartphone, as Apple claims".
Apple launched the iPhone X globally on Friday.
Players pursue innovation along a vector of differentiation until the vector runs out of steam.
"When that happens, the focus of innovation shifts to a different vector and new market leaders emerge. We have seen this pattern several times in mobile phone innovation over the past three decades," Sawhney said.
The vector of differentiation is now shifting from hardware to AI and AI-based software and agents.
"As AI-driven phones like Google's Pixel 2 and virtual agents like Amazon Echo proliferateaToday's smartphones will likely recede into the background," he stressed.
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