Apple’s AI Shift: Adding Google Gemini to ChatGPT, Planning for Apple Intelligence Subscription Service and Profit Generation

Recently, Apple has announced that ChatGPT is the only AI model integrated with its devices at the launch of Apple Intelligence. However, according to analyst Mark Gurman in his Bloomberg “Power On” newsletter, Apple plans to add Google Gemini as another AI model by the fall. Gemini has been a subject of iOS 18 chatbot rumors and Craig Federighi, Apple’s head of software, hinted at a deal with Google immediately after the keynote. While Anthropic has also been implicated in these rumors, Meta was quickly excluded due to Llama not being considered good enough.

Apple is looking to make artificial intelligence (AI) a direct source of profits rather than just a set of features to promote its hardware products. The company could potentially launch Apple Intelligence as a subscription service accessible only via the iPhone 15 Pro, 16 and 16 Pro. However, this may not happen in the near future. Third-party AI services could be a temporary solution for Apple as it gradually rolls out its own generative AI system. The first version may not be enough to drive users to buy new devices in large numbers but it will still generate revenue through in-app purchase commissions for its partners’ chatbot subscriptions.