Apple to Embed Google's Gemini AI in iPhones

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Apple is reportedly planning to incorporate Google’s artificial intelligence (AI) model into its iPhones, as reported by Bloomberg News. This move comes as Apple continues to develop its own AI technology but has faced criticism for underperforming compared to industry rivals. Analysts suggest that Apple’s decision to use Google’s AI reflects a recognition of the competitive gap in AI development.

Google AI ‘Gemini’ to be Equipped in iPhone

According to Bloomberg News, Apple plans to integrate Google’s AI model, Gemini, into its self-developed AI feature called “Apple Intelligence.” This feature is set to debut on iPhones and will include enhancements to the voice assistant, “Siri,” which is expected to launch in spring 2025. “Apple Intelligence” will operate as a customized AI model hosted on Apple’s cloud servers, ensuring that user data from iPhones remains within Apple’s ecosystem and is not transmitted to Google. The collaboration is estimated to cost Apple approximately $1 billion (around 1.4 trillion Korean won) annually.

The integration of Google’s Gemini AI is expected to significantly boost Apple’s AI capabilities. The Gemini model has 1.2 trillion parameters, which is eight times more than the 150 billion parameters in the current “Apple Intelligence” model. Parameters are crucial for an AI model’s performance, as they determine its ability to learn from data and express itself effectively.

Some analysts believe that Apple’s adoption of Google’s Gemini indicates an implicit acknowledgment of its shortcomings in the AI race. Apple has been criticized for lagging behind in AI development despite promising an improved “Siri” with enhanced AI features last year. However, this plan was delayed, and key AI talent has moved to competitors. Additionally, the iPhone 17, released in September, did not include notable AI features.

Google and Apple have long been competitors in the smartphone operating system (OS) market and AI technology. With Google’s AI now set for iPhones, it means that Google’s AI technology will effectively be used across all smartphones.

Bloomberg News also reported that Apple intends to use Google’s AI only as a temporary solution. The company plans to continue developing its own technology to eventually replace Google’s AI. “Given the time remaining until integration, there remains room for the agreement between the two companies to change,” Bloomberg added.

In-House Development vs. Adoption and Utilization Strategy

In recent years, major tech companies have fiercely competed in AI technology. The large language model (LLM) race, sparked by OpenAI’s ChatGPT, has evolved into a competition for “multimodal models” capable of processing images, videos, and audio, and more recently, “AI agents (assistants)” that can perform tasks like online shopping.

While some companies, like Google, continue to enhance their own AI models—such as Gemini—others adopt a strategy of integrating third-party AI models, known as “AI wrapping.” OpenAI, which released ChatGPT, the video-generating AI “Sora 2,” and the AI web browser “Atlas,” is a prime example of a company focusing on in-house AI development.

In contrast, companies like Amazon and Apple actively incorporate externally developed AI into their platforms. Rather than investing heavily in additional model development, they connect well-established AI to their services. For instance, Amazon has linked over 70 third-party LLMs to its voice assistant “Alexa.” Apple is expected to follow a similar approach, developing its own AI like “Apple Intelligence” while also integrating Google’s AI model.

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