I agree completely, it's really unfortunate how AI on apple devices has been going. The message summarization is borderline useless and widely mocked, meanwhile their giant billboard ads for it are largely stupid and uncompelling. Let me choose to give it access to my data if I want to do really useful stuff with on device processing. They've been leaning into the privacy thing, do the stuff that would be creepy if it left my device, generate push notification reminders for stuff I forgot to put in the calendar, or track my location and tell me I'm going to the wrong airport. Suggest birthday gifts for my friends and family, idk.

Edit: And add strong controls to limit what it can and cannot access, especially for the creepy stuff.

They're stuck on the privacy angle, because what it means is you can't call remote services. You'll always have access to more resources at a data-center than a phone. So, while the frontier of what's possible with purely-local models will keep advancing, it'll never exceed what's possible with remote models.

People care about extra privacy when the delta in capability is minimal. But people won't allow a massive discrepancy, like the difference between a 8B model and a 700B model.