> Are they doubling down on local LLMs then?

Honestly, I think that's the move for apple. They do not seem to have any interest in creating a frontier lab/model -- why would they give the capex and how far behind they are.

But open source models (Kimi, Deepseek, Qwen) are getting better and better, and apple makes excellent hardware for local LLMs. How appealing would it be to have your own LLM that knows all your secrets and doesnt serve you ads/slop, versus OpenAI and SCam Altman having all your secrets? I would seriously consider it even if the performance was not quite there. And no need for subscription + cli tool.

I think apple is in the best position to have native AI, versus the competition which end up being edge nodes for the big 4 frontier labs.