Apple has decided to run its next-generation artificial intelligence (AI) features using Google’s “Gemini” technology. As Apple, struggling in the AI sector, reached out to Google, there is a consensus that Google has secured an advantageous position in the AI war.
On the 12th (local time), Apple and Google announced through a joint statement that they had signed a multi-year cooperation agreement to build the next-generation “Apple Foundation Model” based on Google’s Gemini model and cloud technology.
**● Apple: “The Most Capable Foundation is Google Gemini”**
Under this partnership, key features of the next-generation Apple Intelligence, including the AI capabilities of Siri set to launch by the end of this year, will utilize Gemini’s technology. However, for privacy protection, Apple’s own AI, “Apple Intelligence,” will be installed on the devices.
In the statement, Apple mentioned, “We assessed that Google’s AI technology possesses the most suitable capabilities for the Apple Foundation Model.” It was known that Apple had considered various candidates like OpenAI and Anthropic but ultimately chose Google.
**● Google Surpasses $4 Trillion Market Cap, Overtakes Apple**
Following this news, the market reacted immediately. On that day, Alphabet, Google’s parent company, saw its stock price rise by 1.09% to $332.73 on the New York Stock Exchange, with a market capitalization surpassing $4.016 trillion. This made Alphabet the fourth company in history to join the “4 Trillion Dollar Market Cap Club,” following Nvidia, Apple, and Microsoft. Currently, the companies maintaining this level are only Nvidia and Alphabet, with Alphabet becoming the world’s second-largest in market cap.
Dan Ives from Wedbush Securities commented, “This partnership is a critical validation moment for Google and a decisive step for Apple to put its AI strategy on the right track post-2026.”
**● Apple’s Continued Internal Turmoil Leads to Breakthrough with Google Partnership**
Behind Apple’s decision are the painful setbacks in its own AI efforts. Initially scheduled for release in April last year, the AI Siri launch has been postponed to the end of this year, accompanied by internal turmoil with key personnel moving to companies like Meta. Ultimately, Apple set aside its insistence on independent development, finding a breakthrough through an alliance with Google.
Concerns over monopolization are growing as these two tech giants collaborate. Elon Musk, Tesla’s CEO, criticized the move, saying, “It’s an unreasonable concentration of power to grant AI dominance to Google, which already owns Android and Chrome.”
Industry insiders stated, “With this partnership, Google has gained a strong ally in bringing billions of iPhone users worldwide into the Gemini ecosystem, marking a definitive blow in securing its position in the generative AI competition.”