Reports from Bloomberg suggest that Apple is edging closer to striking a deal with Google to incorporate its cutting-edge Gemini AI models into the iPhone. The potential collaboration, if finalized, could mark a significant move for Apple’s AI strategy, which has faced criticism for trailing behind its competitors in the tech industry.
The news sent Google’s stock price soaring by over six percent, while Apple experienced a surge of up to 2.5 percent.
Apple aiming to integrate Google AI technology into its upcoming iOS
According to Bloomberg’s sources, Apple is aiming to integrate Google’s AI technology into its upcoming iOS operating system release, with plans to feature it prominently in the next iteration of the iPhone, anticipated later this year.
This prospective partnership comes amidst the backdrop of an existing collaboration between Apple and Google in the realm of search engines, with Google reportedly paying substantial sums to secure a prominent position on the iPhone. However, this alliance is currently under scrutiny due to a legal battle initiated by the US Department of Justice over alleged antitrust violations.
In addition to Google, Apple has also been engaged in discussions with OpenAI, the creators of ChatGPT, regarding potential collaboration on generative AI. Apple CEO Tim Cook hinted at significant updates in the AI domain, although some observers may express disappointment that Apple is seeking external partnerships to bolster its AI capabilities.
Colin Sebastian, an analyst at Baird, noted the potential implications of a deal between Apple and Google, suggesting that it could solidify Google’s dominance in generative AI across mobile devices, while potentially impeding Apple’s ability to catch up with leaders in this field in the next generation of devices.