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Apple Turns to Google's Gemini for AI Model Support Following 'Apple Intelligence' Setbacks

Apple Turns to Google's Gemini for AI Model Support Following 'Apple Intelligence' Setbacks

101 finance101 finance2026/01/12 18:51
By:101 finance

Apple Turns to Google for AI Breakthrough

In a significant shift, Apple has announced that it will collaborate with Google, its long-standing competitor, to advance its artificial intelligence efforts.

Through a newly established multi-year partnership, Apple’s upcoming AI models that support its ecosystem will be developed using Google’s Gemini platform.

According to a joint statement from both companies, Apple concluded after thorough assessment that Google’s AI technology offers the strongest base for its Foundation Models, and expressed enthusiasm for the innovative experiences this collaboration will bring to Apple users.

Traditionally, Apple has taken pride in designing its own hardware, software, and chips. However, the underwhelming debut of Apple Intelligence in 2024, along with delays in enhancing Siri, forced the company to consider external support to remain competitive in the rapidly evolving AI landscape.

This agreement represents a practical course correction for Apple, especially as it faces executive departures to Meta, highlighting the challenges Apple faces and its new reliance on a rival to drive its AI initiatives.

The move also positions Google as the dominant force in the AI sector, surpassing OpenAI, whose ChatGPT Apple had previously integrated into iOS to enhance Siri’s chatbot capabilities.

Although the financial details remain undisclosed, Bloomberg reported in November that Apple is expected to pay Google around $1 billion per year to access Gemini. Despite this dependency, Apple emphasizes that its commitment to user privacy remains unchanged.

The companies also stated that Apple Intelligence will continue to operate on Apple devices and through Private Cloud Compute, upholding Apple’s renowned privacy protections.

Details such as the timeline for implementation, whether Gemini or Google branding will appear on Apple products, or if users will have the option to choose between Gemini and ChatGPT, have not been disclosed by either company.

The announcement had an immediate impact on the market: Alphabet, Google’s parent company, briefly surpassed a $4 trillion market valuation, as Gemini becomes the core AI engine for both Android and iOS platforms.

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