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05NOV2025replayed
one year on
businessApple · Google · OpenAI · Anthropic

Apple nears $1B annual deal for custom Google Gemini model to power revamped Siri

The iPhone maker is turning to a rival's AI for a major overhaul of its voice assistant, as it races to recover from delays to Siri's AI rollout.

Apple is close to a deal that would have it pay Google roughly $1 billion a year for a custom 1.2 trillion-parameter Gemini model to revive Siri, according to Bloomberg. The model, which would handle summarizing and multi-step task planning, dwarfs Apple’s current cloud-based Apple Intelligence model (150 billion parameters) and would run on Apple’s Private Cloud Compute servers, keeping user data off Google’s systems, per the report. Apple tested models from OpenAI and Anthropic before settling on Google, with Anthropic’s fees reportedly too high.

The effort to look into a third-party provider for Siri’s AI-powered smarts, internally called Project Glenwood, was overseen by Mike Rockwell. It is expected to arrive in an iOS 26.4 update next spring. Apple also plans a 1-trillion-parameter in-house model as soon as 2026, when it hopes to replace Gemini. The company already receives about $20 billion a year from Google for default search placement, but this arrangement is different: it is an engineering dependency, not a revenue stream.

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MacRumors commenter AppleFan91

framed the move as a familiar Apple playbook: leaning on an outside partner (Google Maps, the Weather Channel, Intel, and Qualcomm) until in-house technology is ready — a 'stop gap' to give Apple time to get it right 'since they got it so publicly wrong the first time.'

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MacRumors commenter CapitalIdea

noted that Apple initially appeared headed toward OpenAI, but the existing multi-billion-dollar Google relationship and Google's broader business stability likely tipped the scales.

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MacRumors commenter T tyranne201

objected to Google handling user data.

One year later — open only if you can handle spoilers

Apple and Google confirmed a multi-year partnership on January 12, 2026, and the rebuilt 'Siri AI' shipped on September 14, 2026 with Apple's new software releases, running on Apple Foundation Models built in collaboration with Google's Gemini rather than on a rebadged Gemini.

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