- Apple is in talks to build Google’s Gemini artificial intelligence engine into the iPhone.
- A potential deal between the firms could help Google expand the use of its AI services to more than 2 billion active Apple devices, boosting the search giant’s efforts to catch up with Microsoft backed OpenAI.
Apple is in talks to build Google’s Gemini artificial intelligence engine into the iPhone.
The potential corporation
A potential deal between the firms could help Google expand the use of its AI services to more than 2 billion active Apple devices, boosting the search giant’s efforts to catch up with Microsoft backed OpenAI.
It could also help allay investor fears about the slow roll-out of AI apps by Apple, which has lost the crown of the world’s most valuable firm after a 10% decline in its shares this year.
The firms have a years-long partnership that makes Google the default search engine on Apple’s Safari web browser, and a genAI tie-up may help the Alphabet unit navigate fears that services like ChatGPT could threaten its search dominance.
Concerns
However, the agreement could also invite sharper scrutiny from U.S. regulators, who have sued Google on grounds that it unlawfully stifled competition by paying billions of dollars to Apple to maintain its monopoly in search.
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Benefits for google
As mentioned by Daniel Ives, an analyst at Wedbush, “This strategic partnership is a missing piece in the Apple AI strategy and combines forces with Google for Gemini to power some of the AI features Apple is bringing to market.”
“This is a major win for Google to get onto the Apple ecosystem and have access to the golden installed base of Cupertino (referring to Apple’s California headquarters) with clearly a major licence fee attached to this,” he added.
