As per latest reports, Apple is reportedly in talks to integrate Google’s Gemini artificial intelligence engine into the iPhone.
According to reports, the talks are about licensing Gemini for a few new capabilities that will presumably be included in the iPhone software this year. On the other hand, an AI agreement’s branding, terms, and implementation strategy are still up in the air.
Apple To Integrate Google’s Gemini AI Into iPhones
Early U.S. trading saw a 6% gain in Alphabet shares and a 2.5% increase in Apple shares.
Any transaction announcement is anticipated to wait until June, to take place during Apple’s annual developer conference. It has also been reported that Apple and OpenAI, the company behind ChatGPT, have had negotiations over the use of OpenAI’s model.
Apple, Google (owned by Alphabet), and OpenAI did not immediately respond to calls for comment.
A possible agreement between Apple and Google would help Google’s ambitions to compete with Microsoft-backed OpenAI by allowing Google to make its AI services available to over 2 billion active Apple devices.
A purchase like this might also allay investor worries about Apple’s sluggish launch of AI apps, since the company’s shares have dropped by 10% this year, making it no longer the most valuable company in the world.
The companies have a long-standing collaboration, with Google serving as Apple’s Safari web browser’s default search engine. Google’s Alphabet division may be able to allay worries that ChatGPT and other services could undermine its hegemony in search through an AI collaboration.
US Regulators To Scrutinize Pact
U.S. regulators, who have sued Google for allegedly restricting competition by giving Apple billions to keep its search monopoly, may be more scrutinizing of this pact.
Wedbush analyst Daniel Ives said that this strategic alliance is a big boost to Apple’s AI ambitions and joins forces with Google to enable some of the AI features that Apple intends to release.
With a hefty license price, Google will be able to access Apple’s massive user base thanks to this arrangement, which is considered as a major triumph for the company.
To increase the usage of Gemini, Google and Samsung collaborated in January to include genAI technology into Samsung’s Galaxy S24 series.
Last month, Tim Cook, the CEO of Apple, said the business was heavily investing in generative AI and will provide additional details later in the year.
According to the Bloomberg story, Apple intended to use its own AI models for some of the new features in iOS 18, but it was looking for a partner for genAI aspects, such as the ability to create images and write essays in response to basic prompts.
