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Apple and Meta have discussed an AI partnership according to reports

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The Wall Street Journal has heard from sources that Meta and Apple have been in discussions to include Meta’s AI in the iPhone. The source actually said that Anthropic, which recently released Claude 3.5, and Perplexity have also been in talks with Apple and it was previously reported that Google had spoken to them too about including Gemini.

The AI that Apple had integrated into its products was OpenAI’s ChatGPT. At its WWDC event, Apple’s Craig Federighi said:

“We wanted to start with the best. [ChatGPT] represents the best choice for our users today.”

It’s unclear how the different models will eventually be integrated into Apple’s operating system but it could switch between them based on which is best for a particular use case. The report’s sources stated that Apple and the AI companies aren’t planning to pay each other as part of the agreements but instead the AI companies will be able to offer premium subscriptions for their products through Apple Intelligence and Apple would take a cut of the revenue.

By including their AI products on Apple devices, these AI firms will be able to increase the use of their services dramatically due to the sheer number of iPhone users. According to Apple analyst Gene Munster of Deepwater Asset Management, ChatGPT usage is expect to double with the Apple partnership, pushing up infrastructure costs by 30% to 40%. These infrastructure requirements will be paid for in part by new users that end up subscribing to the chatbot via Apple. Munster said that 10% to 20% of Apple users will opt to pay for premium AI features.

Nothing has been confirmed yet about the Meta and Apple talks so they could fall through but it will be interesting to see how the chatbot is offered to Apple users in the future if the deal does goes through.

Source: The Wall Street Journal via MSN

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