Apple reportedly has a secret weapon in the AI wars: what is the virtual black box?

Lina PortmanMay 30, 2024

0 2 minutes read

This summer at WWDC, Apple is expected to unveil its AI strategy for iOS 18 and Siri, among other AI-based announcements.

To compete in a suddenly crowded AI market, the company plans to offer a combination of on-device and server processing. Apple has reportedly already built custom M2 and M4 chips for AI servers. In recent years, the company has promised to protect user data. AI and the way it is implemented has created a number of issues when it comes to privacy and security.

According to a new report from The Information, Apple plans to process data from AI applications in a “virtual black box.” Former Apple employees told the magazine that this black box would make it impossible for employees to access the data.

Internally, the company is working on a secret project called Apple Chips in Data Centers (ACDC, hardy-har-har). ACDC is supposed to enable black box processing.

Typically, when cloud servers process data, it is only encrypted on disk when it is stored. However, data must be decrypted in memory to be processed and transferred.

ACDC sounds like a form of confidential computing, an industry term that means data remains confidential while it is being processed.

Since Apple makes its own chipsets for servers and devices, this allows the company to control systems and design more secure systems. An advantage over competitors who rely on Intel or AMD, according to sources interviewed by The Information.

According to the report, Apple has been working on some version of a confidential computing initiative for three years, long before the recent AI boom.

It is speculated that by offloading AI processing from devices, Apple could create lighter wearable devices that don't require powerful chips or cooling means. Former Apple employees have claimed that the company had ambitions to design lightweight headsets and glasses. With speculation that Google has AI smart glasses in the works, it wouldn't be surprising if Apple wanted to compete in this market.

Currently, Apple devices use a feature called Secure Enclave to keep user data private. This is a part of the chip that is physically separate from the main processor and acts as a mini black box on the device for things like fingerprints captured by the fingerprint sensor, passwords, etc. password and cryptographic keys.

However, it's unclear how Apple's plans will remain secure when their large user base starts sending multiple requests to single chips serving multiple users. It's also unclear how quickly Apple can evolve.

Currently, Apple is lagging behind its competitors in the AI market, which The Information says is largely due to the company's stance on privacy.

Apple recently confirmed that WWDC will begin on Monday, June 10 and run through June 14. Check back with us on those days as we'll cover everything the company announces, including its next AI strategy.