Alphabet executives will discuss their new artificial intelligence partnership with Apple during the company’s fourth-quarter earnings call on Wednesday, following Apple’s January announcement selecting Google’s Gemini AI to overhaul Siri.
Analysts anticipate roughly 15 percent year-over-year revenue growth for Google in the fourth quarter. Their attention centers on details emerging from the Siri-Gemini collaboration during the earnings call. This marks the first occasion for Alphabet leaders to address shareholders since the partnership’s reveal. The arrangement positions Gemini centrally within Apple’s forthcoming foundation models. These models underpin upcoming Apple Intelligence capabilities, including a more personalized Siri slated for release later this year.
Bloomberg reports specify that Apple commits approximately $1 billion annually for a tailored Gemini model featuring 1.2 trillion parameters. This represents a substantial enhancement over Apple’s existing 150 billion-parameter system. The multi-year agreement secures Google’s advantage against rivals such as OpenAI and Anthropic. Michael Nathanson of MoffettNathanson stated to CNBC, “There was significant concern on Wall Street that Apple might lean toward OpenAI or Perplexity, but that now seems less likely.” Apple opted for Google in part because Anthropic demanded about $1.5 billion per year.
The deal builds upon an established financial tie between the firms. Google provides Apple an estimated $20 billion each year to serve as the default search engine across Apple devices. This ongoing payment underscores the depth of their commercial interdependence, now extending into artificial intelligence infrastructure.
Bloomberg journalist Mark Gurman indicates Apple intends to introduce the Gemini-enhanced Siri during the latter half of February. Developers can expect the update within iOS 26.4 beta. The revised assistant gains improved capacity to interpret on-screen content. It draws upon personal context for task execution and generates responses in a more conversational style. Apple outlined these functionalities at WWDC 2024, though technical obstacles postponed their implementation.
During Apple’s Q1 2026 earnings call last week, CEO Tim Cook referenced the partnership. He affirmed, “the more personalized Siri is coming this year,” while verifying the collaboration with Google. Cook specified that Siri lacks access to users’ Gmail “and stuff like that.” Apple Intelligence operations persist on Apple hardware and Private Cloud Compute servers. Both companies emphasize adherence to “industry-leading privacy standards” in these deployments.
Certain analysts raise concerns regarding Apple’s growing dependence on Google’s cloud systems. They posit this could enable the search company to obtain additional user data progressively. The development prompts inquiries into Apple’s prior integration of OpenAI’s ChatGPT with Siri for intricate queries. Apple informed CNBC of “no alterations to the existing agreement.” Details on how the partnerships interact remain unspecified. One analyst characterized the arrangement as positioning ChatGPT in a “supporting role” on Apple platforms.
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