Alphabet Inc. and Apple Inc. announced a multi‑year collaboration on January 12, 2026, to embed Google’s Gemini generative‑AI models into Apple’s Siri voice assistant and other Apple Intelligence features. The partnership grants Alphabet a direct channel to more than a billion Apple devices, while giving Apple a proven foundation for the next generation of context‑aware, personalized AI experiences.
For Alphabet, the deal is a strategic distribution win that expands Gemini beyond Google’s own products. The partnership is expected to generate a recurring revenue stream of roughly $1 billion per year, a figure that aligns with earlier speculation. The influx of Apple’s user base also positions Gemini as a leading foundation model, reinforcing Alphabet’s AI leadership and contributing to the company’s first $100 billion quarter in Q3 2025, when revenue reached $102.3 billion and operating margin hit 30.5%.
Apple’s CEO Tim Cook emphasized that the collaboration will accelerate Siri’s evolution while preserving the company’s privacy commitments. By running Gemini on Apple devices and private cloud servers, Apple can deliver richer, on‑device AI without compromising user data. The partnership also signals a pragmatic shift in Apple’s AI strategy, which has historically favored in‑house development, and addresses the long‑standing gap between Siri and competitors such as Google Assistant and Amazon Alexa.
The announcement came on the heels of strong quarterly results from both firms. Alphabet’s Q3 2025 earnings beat expectations with revenue up 16% and EPS of $2.87 versus the consensus of $2.29, driven by robust growth in Google Cloud and AI services. Apple’s Q4 2025 results posted $102.5 billion in revenue, an 8% year‑over‑year increase, and a diluted EPS of $1.85, reflecting solid performance across iPhone and Services segments.
Market reaction to the deal was swift. Alphabet’s market capitalization briefly surpassed Apple’s, reaching a $4 trillion milestone, as investors priced in the long‑term value of Gemini’s expanded reach and the strategic advantage it confers in the AI race. Analysts highlighted the partnership as a key driver of Alphabet’s future growth and a critical step for Apple to close the AI gap in its ecosystem.
Sundar Pichai, Alphabet’s CEO, noted that “Gemini is the most capable foundation model for Apple’s future AI features, and this partnership unlocks new experiences for users worldwide.” Tim Cook added that “Apple’s focus on privacy and on‑device intelligence is reinforced by Gemini’s powerful yet secure architecture.”
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