- Apple is in talks with OpenAI and Google to integrate AI into the next iPhone, Bloomberg reported.
- The iPhone 16 is expected to be released this fall.
- Tim Cook has said in recent months that Apple has big plans for AI this year.
Apple is evaluating its options for integrating AI into the next-generation iPhone.
The tech giant is in talks with OpenAI and Google to integrate generative AI into iOS 18, the next iPhone operating system, but has yet to reach a final decision between ChatGPT and Gemini or another third-party provider, Bloomberg reported Friday.
Business Insider previously reported that the iPhone 16 is expected to release this fall. This will be Apple’s first smartphone to feature generative AI, which experts say will send Apple shares soaring.
While the next iPhone could include AI-powered features based on Apple’s internal large language model, Bloomberg reports that the company is considering partnering with a more established AI creator to incorporate a chatbot similar to the OpenAI GPT model.
The outlet reported that Apple initially discussed a deal with OpenAI earlier this year, although collaboration between the two companies has slowed since then.
In recent months, CEO Tim Cook has been more outspoken about Apple’s plans to move into AI. In February, he said big announcements would be made later this year regarding his company’s integration of the technology into its existing product lines.
“As we look to the future, we will continue to invest in these and other technologies that will shape the future,” BI previously said during the company’s fourth-quarter earnings conference call. “This includes artificial intelligence, which we continue to invest considerable time and effort into.”
Apple previously announced plans to launch a line of Macs with new AI-focused M4 processors, leading the company’s stock to jump 4% despite increased scrutiny from regulators and an antitrust lawsuit filed against the company by the DOJ in March.
The lawsuit, combined with headwinds from China in the form of declining sales in that key market, has created “a perfect storm for Cupertino,” analyst Dan Ives wrote in an April 9 stock report of the society. However, he noted that he still believes Apple will outperform the current market performance.
“Our forest through the tree view on Apple is about navigating the next 1-2 quarters and getting to the other side of the easier comps, from the AI announcement to WWDC, from the cycle of stronger upgrade for iPhone 16 and the monetization opportunity for the gold installed base in Cupertino,” Ives wrote in his analysis.
Apple, Google and OpenAI did not immediately respond to Business Insider’s requests for comment.
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