After Bloomberg revealed that Alphabet and Apple were “in active negotiations” for Gemini to power some features coming to the iPhone this year, Alphabet shares were up more than 7% on Monday morning.
Over 2% gain was seen in Apple shares.
In response to a story indicating that tech giant Apple is in discussions to license Gemini for upcoming iPhone models, Alphabet shares surged more than 7% on Monday morning. Over 2% gain was seen in Apple shares.
Google’s generative AI toolkit, Gemini, includes chatbots and coding helpers among other things.
A report from Bloomberg claims that Apple and Alphabet-owned Google are in negotiations for Apple to license and integrate Google’s Gemini AI engine into the iPhone.
According to Bloomberg, which cited sources with knowledge of the situation, the two tech behemoths are “in active negotiations” for Gemini to power a few new features that will be added to the iPhone OS later this year.
It is anticipated that Apple will unveil iOS 18, the next major iPhone upgrade, during its Worldwide Developers Conference. At that time, the business often unveils its newest iPhone software before it becomes available to the general public in the autumn, and it may also discuss more about its intentions for generative artificial intelligence.
During the firm’s annual shareholder meeting in February, Apple CEO Tim Cook said that the business is “investing significantly” in artificial intelligence.
Cook stated, “I look forward to sharing with you later this year the ways we will redefine the future in generative AI, another technology we believe can break new ground in.”
The sources mentioned by Bloomberg also state that the corporation has had talks with OpenAI and has thought about utilizing their approach.
But according to the source, “the two parties haven’t finalized how it would be implemented or decided on the terms or branding of an AI agreement.”
The Bloomberg report could not be independently verified by CNBC. When CNBC contacted Alphabet, the company did not answer right away, and Apple declined to comment.