Alphabet reports earnings Wednesday, and investors will be looking for more details on the company's deal with Apple to revamp the Siri virtual assistant with Google's Gemini artificial intelligence technology.
While Wall Street is expecting Google to report a 15% year-over-year increase in its fourth-quarter revenue, much of the attention during the company's earnings call will be on any new details about the Siri-Gemini deal, analysts told CNBC.
The earnings on Wednesday will be the first time Alphabet's leadership address shareholders since Apple in January announced that it had chosen Gemini as the AI technology to power the company's Siri overhaul this year. The deal represents one of the most prominent yet for Gemini, and the scale of Apple's user base — 2.5 billion active devices — is important for Google, even if the search giant doesn't get specific user data, analysts said.
"They'll have critical mass, and even if they're not going to get consumer information, maybe they'll be able to see what queries are being asked, which could help Google train its AI models," said Gil Luria, managing director at technology research firm D.A. Davidson.
However, there are still many unanswered questions about what the partnership entails.
What the companies have said is that the multiyear partnership will lean on Google's Gemini and cloud technology for future Apple foundational models. A joint statement from the companies said Apple had "determined that Google's AI technology provides the most capable foundation for Apple Foundation Models," adding that the company was "excited about the innovative new experiences" that Gemini "will unlock for Apple users."
The companies said the Apple Intelligence suite of features will continue to run on Apple devices and the iPhone maker's private cloud. Apple intelligence includes Siri as well as Apple's AI writing tools and Genmoji, the company's emoji creation feature.
Apple CEO Tim Cook discussed the partnership with CNBC's Steve Kovach last week when the company reported its latest quarterly earnings. Cook said the Gemini-powered Siri will be personalized for users, but he added that it won't know users' "Gmail and stuff like that."
Cook added that Siri will "know a lot" and said Apple plans to share more details when the updated Siri is released.