Apple, Google in talks for Gemini to power iPhone AI features: report

The iPhone maker previously spoke with OpenAI about the prospect of using ChatGPT

Apple is in talks with Google to use its new Gemini artificial intelligence models to power the AI features for iPhones after previously discussing the prospect with ChatGPT maker OpenAI, according to a new report.

Citing people familiar, Bloomberg reported Monday that Apple is in "active negotiations" with Alphabet-owned Google's Gemini to run new features coming to iPhone software, but any potential deal would likely not be announced until Apple's Worldwide Development Conference (WWDC) in June.

Google logo behind apple log on iphone

Apple is reportedly in talks with Google to use its Gemini artificial intelligence models to power upcoming features in iPhones. (Pavlo Gonchar/SOPA Images/LightRocket via Getty Images / Getty Images)

Ticker Security Last Change Change %
AAPL APPLE INC. 229.00 +0.72 +0.32%
GOOG ALPHABET INC. 177.33 -2.25 -1.25%

Neither Apple nor Google immediately responded to FOX Business' requests for comment on the report.

MICROSOFT TELLS EUROPEAN REGULATORS GOOGLE HAS AN EDGE IN GENERATIVE AI

A possible 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.

Ticker Security Last Change Change %
MSFT MICROSOFT CORP. 415.49 -2.30 -0.55%

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.

IS GOOGLE TOO BROKEN TO BE FIXED? INVESTORS ‘DEEPLY FRUSTRATED AND ANGRY,’ FORMER INSIDER WARNS

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.

The logo of 'ChatGPT' is displayed on a mobile phone screen in front of a computer screen with the logo of OpenAI

Apple previously spoke with OpenAI about the possibility of using its ChatGPT chatbot to run iPhone AI features, according to Bloomberg. (Harun Ozalp/Anadolu Agency via Getty Images / Getty Images)

But the agreement could also invite sharper scrutiny from U.S. regulators, who have sued Google alleging it unlawfully stifled competition by paying billions of dollars to Apple to maintain its search dominance.

GOOGLE RELEASES NEW GEMINI UPDATE TO GIVE USERS ‘MORE CONTROL’ OVER AI CHATBOT RESPONSES

Apple CEO Tim Cook said last month that the iPhone maker was investing "significantly" in generative AI and would reveal more about its plans to put the technology to use later this year.

Tim Cook holding an iPhone

Apple CEO Tim Cook looks at a new iPhone 14 Pro during an Apple special event on September 07, 2022 in Cupertino, California.  (Justin Sullivan/Getty Images / Getty Images)

Apple, Inc.

The Bloomberg report said Apple was planning to use its own homegrown AI models for some new capabilities in its upcoming iOS 18, but was seeking a partner to power genAI features, including functions for creating images and writing essays based on simple prompts.

GET FOX BUSINESS ON THE GO BY CLICKING HERE

Reuters contributed to this report.