Investors paid careful attention to Apple (AAPL) and Microsoft (MSFT) at CES 2024 (Consumer Electronics Show) as, for a brief moment, Microsoft took over as the most valuable company for the first time since 2021. Microsoft has made a lot of ground for investment and development of AI, from purchasing OpenAI to the buzz around ChatGPT, while Apple has been grappling with weaker iPhone demand, especially in China. Constellation Research Founder and Principal Analyst R "Ray" Wang joins Yahoo Finance to give insight into Apple's AI strategy and share some of the latest tech innovations seen at CES. "What we've seen over the last couple of quarters is declining revenues but profits are still increasing. That's because the services equation of the rational is actually growing in services a lot more profitable than putting out a piece of hardware," Wang says about Apple. "I would say that we've probably seen those same kind of trends. But we do supplier checks, and suppliers aren't that nervous, in the sense that they're saying... we're going to see a decrease, mostly because we are in a super cycle." For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live. Editor's note: This article was written by Nicholas Jacobino

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