WWDC2024 is only a few days away, and new reports suggest that the Apple-OpenAI partnership will come to iOS18, but there are some interesting wrinkles that could change the long-term outlook for both companies
According to a report by Bloomberg's Mark Gurman, Apple will work with OpenAI to provide generative AI capabilities, but the deal is short-term and suggests that Apple may be focusing on its own AI efforts in the long run Apple doesn't want to be left behind by google, Samsung, and other companies that have heavily integrated AI into their devices, so you can join this partnership and get something for a large user base
In return, OpenAI uses the chatgpt service to reach many users who do not want to be involved in it through third-party apps If generative AI is built into iOS, Apple users may feel more comfortable using it for everyday tasks That way, even if the temporary partnership ends, OpenAI may be able to grab other Apple users who have become accustomed to ChatGPT Or maybe these users just use what Apple is desperately working on
We contacted Techsponential analyst Avi Greengart for additional insights into Apple's AI plans "If Apple sees generative AI as a core part of its product, it seems unlikely that Apple will be willing to outsource it to another company in the long run That said, if Apple is making a list of AI companies that they want to cooperate with, and have not yet competed with, then OpenAI is at the top of that list," Greengart said
So why not partner with Google instead? After all, Apple already pays billions to Google every year for Google to become the default search partner for the Safari browser "I think it's easier to white-label chatgpt than Google if it's a service that Apple decides it wants to focus on," said Carolina Milanesi of Creative Strategies "Google represents more competition, especially as it looks like hardware is becoming a showcase for AI"Of course, even if it's temporary, there's a risk in partnering with OpenAI Apple's willingness to avoid these risks demonstrates the importance of a strong generative AI foundation for the company
"There is an implementation risk — ie ChatGPT provides incorrect or inappropriate responses — and a reputation risk — ie Sam Altman or OpenAI anti-Apple brands I'm more concerned about the former, but this directly affects Apple's user experience," says Greengart It's a great place to start
Another important detail in Gurman's report is that Apple plans to opt in to the ChatGPT feature in iOS1 Instead, users have to go into the settings of their device and turn it on This means that OpenAI does not automatically capture all iOS users This is a smart move for Apple, as some users may not want to engage with AI, but the potential deal for OpenAI is definitely not exciting
In the end, you really see which company needs more of the other Should Apple start and run AI faster than OpenAI needs to attract a huge chunk of new users for Apple's mobile OS? Even if it is short-term, the situation seems almost equal, as both sides seem willing to cooperate on mutually beneficial deals
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