In a major strategic shift, Apple announced on Monday a multi-year partnership with Google to integrate Gemini AI technology into its upcoming product features, including the Siri digital assistant.
The collaboration brings together two of the technology industry’s biggest rivals, who collectively dominate the global smartphone market with their iOS and Android operating systems. According to a joint statement, Apple selected Google’s technology after a “careful evaluation” concluded that Gemini provided “the most capable foundation” for its AI ambitions.
This new deal expands on a long-standing and lucrative arrangement where Google pays Apple billions annually to be the default search engine on Apple devices. That existing agreement has faced regulatory scrutiny, with the US Department of Justice raising antitrust concerns.
The announcement drew immediate reaction from competitors. Elon Musk, CEO of Tesla and founder of xAI, criticized the deal as an “unreasonable concentration of power for Google.”
Financial terms of the AI partnership were not disclosed. Following the news, the share price for Google’s parent company, Alphabet, surpassed a $4 trillion market valuation for the first time.
Dan Ives, an analyst at Wedbush Securities, described the partnership as a “major validation moment for Google” and a critical “stepping stone” for Apple to advance its AI strategy into 2026. Apple has been perceived as lagging in the AI race after delaying an improved version of Siri and announcing the departure of its AI team head in December.
Despite the collaboration, Apple confirmed its own in-house system, Apple Intelligence, will continue to power on-device functions on iPhones and iPads to uphold the company’s “industry-leading privacy standards.”
