Apple is turning to Google to make a custom Gemini AI model to power the next version of its virtual assistant Siri for spring 2026, according to a Nov. 2 report by Bloomberg's Mark Gurman. A subsequent report on Wednesday states Apple will pay $1 billion per year for this new 1.2 trillion parameter model.
Apple reportedly was evaluating whether to use Google or AI competitor Anthropic for the next version of Siri. While Apple will pay Google $1 billion per year, it would have cost $1.5 billion per year with Anthropic, according to an earlier Bloomberg report.
Don't miss any of our unbiased tech content and lab-based reviews. Add CNET as a preferred Google source.
This custom Gemini model will run on Apple's private cloud computer servers. Apple's own models will continue to run on devices for personal data, while Gemini will operate on servers for more complex tasks. Apple does not plan to highlight Google's involvement in the company's marketing, Bloomberg reports.
Representatives for Google and Apple didn't immediately respond to requests for comment. Anthropic didn't respond to an earlier request for comment.
CNET
With major tech companies pivoting toward AI, Apple has largely been left behind. The tech company was slow to adopt AI and hasn't developed AI models that are competitive. It instead turned to companies like OpenAI, the creator of ChatGPT, to help add generative capabilities on top of existing Apple systems.
(Disclosure: Ziff Davis, CNET's parent company, in April filed a lawsuit against OpenAI, alleging it infringed Ziff Davis copyrights in training and operating its AI systems.)
Even so, the promise of a truly agentic Apple Intelligence has failed to materialize, although it has improved. Apple CEO Tim Cook also hasn't ruled out the possibility of acquiring an AI company.
Apple also has a close relationship with Google. The search giant pays Apple $20 billion annually to remain the default search engine on Apple devices. It's a relationship that nets Apple money and prevents it from building a competitor to Google Search, a claim Apple denies. This arrangement was an important factor in the Department of Justice's case against Google, where a judge ruled that the company was operating an illegal monopoly.
... continue reading