Alphabet’s stock up 7% on report Apple is in talks to license Gemini AI for iPhones

Alphabet’s stock surged by over 7% on Monday upon the release of a report suggesting that Apple is in discussions about incorporating Google’s AI toolset, Gemini, into forthcoming iPhones. Apple’s stocks also witnessed a more than 2% increase.

Gemini, a product of Google, consists of an array of generative artificial intelligence resources ranging from chatbots to coding support systems.

As per a Bloomberg article, Apple is currently in negotiation with Google’s parent company, Alphabet, to acquire the rights to integrate its Gemini AI technology into the iPhone.

Sources in the know stated that the dual tech behemoths are “actively negotiating” for Gemini to spearhead specific novel features planned for release in the iPhone’s software update slated for later in the year.

Apple, with its upcoming iOS 18 update, set for unveiling during its Worldwide Developers Conference, is likely to discuss more about its strategic plans for generative artificial intelligence. This is typically when the company provides sneak peeks of its latest iPhone software prior to its official rollout in the autumn.

During the annual shareholder meeting in February, Apple’s CEO, Tim Cook, expressed the company’s substantial investment in AI. He anticipates unveiling the revolutionary ways in which generative AI will be leveraged, a technology he firmly believes can revolutionize the future.

In other developments, Apple has reportedly been in talks with OpenAI and has contemplated using its model, according to sources referred to by Bloomberg. However, it was reported that no agreement has been made in terms of the terms, branding or implementation strategy for the AI agreement.