Apple shares are moving in the opposite direction to the rest of the technology sector, surpassing $4 trillion in market capitalization and overtaking Alphabet as the world’s second‑most valuable company after Nvidia. Investors view Apple as a safe haven amid fears that AI development will disrupt the business models of many IT giants, especially software firms.

Apple’s success is driven by strong quarterly sales and above‑expectation guidance, while new AI tools from Alphabet and Anthropic have triggered sectorwide sell‑offs. Dan Iia, CIO at Fort Pitt Capital Group, noted, “The theme of AI’s destructive impact does not extend to device manufacturing — that’s a positive signal when the market fears AI will ‘eat’ software.” The fund tracking the software sector is down 2.7% and is headed for a seventh consecutive decline, its longest losing streak in two years. Microsoft is down 14% year‑to‑date amid cloud‑related reports and AI investments.

Apple is winning a dual bet: it avoids the “AI race” with its huge debt and multibillion‑dollar capex demands, yet it still benefits from the trend via devices like the iPhone as access points to AI services. January’s agreement between Google and Apple to support Siri underscores Apple’s strategic positioning. As Dan Iia said, Apple’s decision not to dive headlong into the AI race today looks much more sensible than it was six months ago.