Apple Considers Google's Gemini AI for iPhones

• Apple is in discussions with Google to incorporate Google's Gemini AI into iPhones highlighting Apple's struggle to develop their own AI solutions.
• The existing partnership between Apple and Google, with Google serving as Safari's default search engine drove the decision to consider Google's Gemini over OpenAI's GPT models.
• While a possible partnership could significantly enhance AI capabilities on Apple devices and benefit both companies, it may also attract regulatory scrutiny due to concerns about Google's dominance.

In a groundbreaking move, Apple is reportedly in talks with Google to incorporate Google's Gemini artificial intelligence into iPhones. This partnership could see Apple paying Google a staggering $20 billion annually.

The discussions, reported by Bloomberg News, aim to license Gemini for the upcoming iPhone software features, although the agreement's specifics remain undisclosed.

With projects like the Apple car initiative and internal products like Ajax failing to meet expectations, Apple finds its search for external AI solutions challenging despite acquiring numerous AI companies and redirecting resources.

"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," said Daniel Ives, an analyst at Wedbush.

Here is why picking Google's Gemini over OpenAI's GPT models is well thought out. Google has already built a model specifically designed for mobile phones; called Gemini Nano, it operates seamlessly on phones ensuring speed and data privacy. And it is already live on Pixel and Samsung phones working brilliantly.