Apple Asleep on AI? Hardly!

Apple’s “AI Gap Year” Is a Ruse

Apple just shocked Silicon Valley — but most people aren’t paying attention.

The Worldwide Developers Conference (WWDC) is where Apple unveils its latest software, hardware and, most importantly, its vision for the future.

This week, however, the tech press called WWDC 2025 Apple’s “AI gap year.” Meanwhile, Wall Street fretted over Apple losing ground to other Big Tech companies. But if you listen to Ray Blanco, Paradigm’s science-and-tech expert, you know better.

“Steve Jobs had a favorite saying: ‘Good artists copy, great artists steal,’” notes Ray. “But there’s something Jobs didn’t mention. The greatest artists wait.” And right now, Apple is waiting — strategically.

Ray’s observed this strategy before. “Let others build the crappy first versions. Study what actually works. Perfect the integration and ecosystem. Launch and dominate.” That’s Apple’s secret sauce, and it’s worked every time…

• Take the iPod. “Diamond Rio came first. Creative Nomad had the features. Apple was a computer company with no clue about music. Result: iPod launched three years later and killed the entire category”

• Or the iPhone. “BlackBerry owned business. Palm ruled PDAs. Microsoft had the enterprise. Result: iPhone destroyed them all”

• Tablets? “Microsoft had tablet PCs since 2001. Everyone said the market didn’t exist. Result: iPad created a $100 billion market overnight.”

In other words, Ray sees what most are missing…

“While Google and OpenAI are burning billions on cloud computing, Apple is doubling down on what they do best: building premium hardware that just works,” Ray emphasizes.

“Apple’s vision for on-device AI — intelligence that works locally, without relying on the cloud — comes with real engineering challenges,” he adds.

“To pull it off, Apple needs new kinds of chips. Not the ones powering data centers, but ultra-efficient processors designed to run AI models directly on phones, earbuds, watches, etc. without draining your battery in five minutes… or using even more power to send data off device and into the cloud.”

This is a radical departure from the industry. “Apple isn’t trying to build another ChatGPT for the cloud. They’re interested in making every device in your ecosystem intelligent without sending data anywhere.

“That means your AirPods understanding context without internet. It means your Apple Watch making health recommendations without the cloud. It also means your iPhone translating conversations without connectivity.

“On-device AI beats cloud-dependent AI,” Ray concludes. “On-device processing beats cloud processing because it’s faster, more secure and more reliable. And ecosystem control beats platform fragmentation — this is Apple’s classic moat.”

So while the tech world is obsessed with cloud AI, Apple is quietly building the future. That you can tuck in your pocket. “If history is any guide, it’s [something] that Apple has pulled off before,” Ray reminds us. “The second mouse gets the cheese.”

Every other competitor might be chasing the latest AI hype, but Apple is setting the stage for the next big leap — and Ray is scrutinizing the company’s every move. “The greatest artists wait. And right now, Apple is poised to change the game all over again.”

To help make it happen, though, Apple is likely to make a strategic acquisition. At least that’s what Ray’s colleague James Altucher believes, based on his proprietary financial AI that’s flagged a potential buyout target.

James’ system proved enormously lucrative this week for subscribers to his True Alpha trading advisory — a staggering 1,077% gain on a quantum computing play that materialized in less than 90 days.

Thing is, James says this Apple story is a fast-moving opportunity. By tomorrow he believes it could be too late to act — for reasons he’ll show you when you follow this link.

Central Banks: Gold Surpasses Euro

Late yesterday, U.S. oil prices jumped over $3 — almost 5% — to close at $68.15 per barrel, mainly because tensions between the U.S. and Iran have escalated. For instance, nuclear-deal talks stalled, the U.S. withdrew some diplomats from the Middle East citing safety concerns and Iran threatened possible attacks on U.S. bases. In other words, just another Wednesday.

As for stocks, Boeing (BA) shares are down about 4.5%...

• Earlier today, an Air India Boeing 787 Dreamliner, carrying more than 240 passengers and crew, crashed shortly after departing from Ahmedabad, India. The aircraft went down near the airport in a densely populated area; initial reports indicate no survivors among those on board. Local authorities are assessing possible ground casualties as well. This incident marks the first fatal crash involving the Boeing 787 model.

Taking a look at the broader market, the three U.S. stock indexes are in fair shape: The Nasdaq and S&P 500 are both about 0.25% to 19,665 and 6,040 respectively. In third place, the DJIA is up about 0.05% to 42,890.

The crypto market, on the other hand, is in the red at the time of writing. Bitcoin’s down 1.15% to $107,500 while Ethereum’s lost almost 3% to $2,735.

When it comes to precious metals, it’s a risk-on day: Silver’s up 0.25% to $36.35, and the price of gold’s up almost 2% to $3,407.70 per ounce. For more context on gold, read on…

According to the European Central Bank (ECB), gold’s more important than ever for central banks around the world.

At the end of 2024, for example, gold made up about 20% of official global reserves — surpassing second-place reserve asset, the euro, which accounts for 16%. This shift happened because central banks have been buying gold at record pace, while gold prices have also reached new highs.

Last April, gold hit an all-time high over $3,500 per ounce; the price of gold climbed almost 62% since the start of 2024, driven by global uncertainty, market ups and downs and, yes, intense demand from central banks.

Over the past three years, in fact, central banks have added more than 1,000 metric tons of gold to their reserves each year. That’s about double the average amount bought each year during the 2010s.

Nevertheless, the U.S. dollar is still central banks’ top reserve asset. According to the latest data from the International Monetary Fund (IMF), the U.S. dollar’s share of total allocated foreign exchange reserves fell to 57.8% at the end of 2024 — its lowest level since 1994. This marks a decline of about 7 percentage points over the past decade.

Since Russia’s invasion of Ukraine in 2022, demand for gold as a reserve asset has taken off. Countries facing sanctions or those with ties to China and Russia have especially increased their gold holdings. The biggest buyers in 2024? Turkey, India, China, Azerbaijan and Poland.

Globally, central banks now hold about 36,000 tons of gold — close to the record set in 1965 — as gold steadily reclaims its place as the world’s go-to financial safety net.

The EPA’s Power Play

The Environmental Protection Agency (EPA) announced plans this week to undo air-pollution standards for mercury and to eliminate carbon dioxide rules for power plants.

These changes would roll back policies put in place during the Biden administration and are part of a broader effort to reduce the EPA’s role in regulating climate change.

EPA Administrator Lee Zeldin, who took office in January, has made it a priority to ease rules on American industries and encourage more fossil fuel-based energy production, including coal. The proposed changes follow executive orders from President Trump to expand coal mining and increase coal-fired power generation.

Supporters of the new rules say they will save American families about $1 billion a year on electricity bills and help ensure a reliable supply of power. Industry groups argue that the previous regulations were unrealistic and hurt the economy.

“Today’s announcements are a welcome course correction,” says Jim Matheson, CEO of the National Rural Electric Cooperative Association. Lawmakers from coal states, like Rep. Carol Miller (R-WV), also praise the move for helping coal miners and local economies.

However, environmental and public health groups argue that rolling back these protections will harm public health. The American Lung Association and other groups, for instance, are urging the EPA to keep the Biden- and Obama-era safeguards in place.

Expect legal challenges as the agency reviews public comments before issuing a final rule. The debate centers on whether the economic benefits — and grid stability — outweigh the potential health and environmental risks.

Outlaws at the Border

The long-running border dispute between Venezuela and Guyana over the oil and gold-rich Essequibo region has gotten more volatile in recent months.

The standoff we first brought to readers’ attention in late 2023 is increasingly marked by armed incidents, organized crime and high-stakes resource competition.

Venezuela continues to assert its claim over Essequibo — a region that makes up roughly two-thirds of Guyana and is home to about 125,000 Guyanese — insisting that nothing should be done in the area until the two countries settle the border dispute.

Source: U.S. Southern Command

“Any initiative involving that area should avoid assuming a settled territorial status,” says Venezuela’s vice foreign affairs minister for the Caribbean. Meanwhile, Guyana maintains that Essequibo is its sovereign territory and that the issue is before the International Court of Justice (ICJ), whose rulings are legally binding.

On the ground, the situation has become more dangerous. Armed groups — many linked to illegal mining and criminal networks in Venezuela, have been crossing into Essequibo, setting up checkpoints, extorting miners and even clashing with the Guyana Defense Force (GDF) along the Cuyuni River.

These groups, known as sindicatos, operate with apparent impunity and are suspected of having support from Venezuelan authorities. Their presence has made the region a hotspot for smuggling, drug trafficking and violence, with Guyanese officials noting criminal networks from Venezuela, Colombia and Brazil are all active in the area.

Venezuela has also taken provocative political steps, holding elections for a “governor” and lawmakers for Essequibo — despite the fact that none of the region’s actual residents participated. The ICJ has ordered Venezuela to halt these election plans, calling them a violation of international law. Nevertheless, President Maduro has used the issue to rally nationalist sentiment and shore up domestic support.

In the meantime, Guyana’s oil industry is booming, with current production around 650,000 barrels per day and projections to reach 1.3 million barrels per day by the end of the decade.

This has made the country a strategic partner for the United States, which has pledged to support Guyana’s security and territorial integrity. U.S. officials have warned Venezuela against any aggression, and Guyana is now open to hosting foreign military bases if necessary.

With both sides digging in, and criminal and political interests overlapping, the risk of broader conflict in the Essequibo is real.

The French Saga of Hazelnut Spreads

Every July, France’s great summer migration — les grandes vacances — turns highways into parking lots and airports into obstacle courses.

Among the millions heading out are families with roots as far away as Cameroon, Turkey and Algeria, all eager for le retour au bled, the annual “return to the homeland.”

But what’s brought back in overstuffed suitcases? Last summer, the hottest contraband wasn’t designer knockoffs — it was El Mordjene, an Algerian hazelnut spread that set off a frenzy across France.

Courtesy: eBay

El Mordjene’s suddenly became a symbol of identity and pride for many French-Algerians, with fans declaring it “better than Nutella” and playgrounds erupting in chants of “Who wants El Mordjene? Woop woop!”

But the buzz triggered more than just sweet-tooth cravings…

French customs banned El Mordjene, citing dairy import rules — even after it was revealed that the powdered milk in question was actually sourced from France itself!

Algerian commentators called the ban “disguised protectionism” and “flagrant injustice,” arguing that the ban was a thinly veiled move to protect Nutella’s market dominance.

France, by the way, is the world’s largest consumer of Nutella, and its producer — the Italian company Ferrero — runs one of its biggest factories near Rouen, France.

Since the customs ban went into effect, the clash between El Mordjene and Nutella has become a stand-in for deeper tensions between France and Algeria, bound by a long and painful history of colonialism.

In the end, the El Mordjene affair is a reminder that even something as simple as a jar of hazelnut spread can carry the weight of history… and spark a diplomatic incident.

Take care, reader! Until next time…

Best regards,

Emily Clancy
Associate editor, Paradigm Pressroom's 5 Bullets