Apple could pay Google ~RM4.05 billion a year for Gemini after OpenAI rejected its offer for collaboration

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According to The Financial Times, Apple is paying Google around USD1 billion (~RM4.05 billion) to use Gemini. Although using Gemini, this model will be operated by Apple itself through their own Private Cloud Compute browser to control customer privacy. So, what should you know about it?

 

A profitable multi-year contract for Apple

For your information, this multi-year contract is seen as quite profitable because Apple does not need to invest in developing its own model, which also requires large investments in building data centres, as is being done by Google, OpenAI, Microsoft and Meta.

In the same report, OpenAI is also said to have refused to continue the collaboration with Apple, even though ChatGPT was integrated into Apple Intelligence at an early stage. There is no reason why OpenAI refused, but speculation is that they are developing their own AI hardware with the help of Jony Ive.

Moreover, to ensure that there is no conflict of interest, the collaboration with Apple is not continued. The AI device being developed wants to replace the iPhone, with it being a smart pen or a necklace that hangs around the neck.


Stay tuned to TechNave.com for more updates.