Apple Closes in on Agreement With OpenAI to Put ChatGPT on iPhone

iPhone and OpenAI

Apple Inc. is nearing an agreement with OpenAI to integrate the startup’s technology into the iPhone, as part of a broader effort to introduce artificial intelligence functionalities to its devices, sources familiar with the matter revealed.

According to these insiders, the two parties are in the final stages of negotiating terms for incorporating ChatGPT features into Apple’s upcoming iOS 18, the next iteration of the iPhone operating system. Discussions have also taken place with Alphabet Inc.’s Google regarding the potential licensing of its Gemini chatbot, although no agreement has been reached yet.

Should the deal with OpenAI materialize, Apple stands to enrich its offerings with a popular chatbot, aligning with its plans to unveil a series of new AI features in the coming month. Reports from Bloomberg in April indicated an escalation in talks with OpenAI, but an official announcement remains uncertain.

When approached for comment, representatives from Apple, OpenAI, and Google all declined to provide statements.

Apple is gearing up to make significant strides in the realm of artificial intelligence at its annual Worldwide Developers Conference scheduled for June. As part of this initiative, the company intends to leverage its proprietary in-house processors within data centers to drive forthcoming AI capabilities, as previously reported by Bloomberg.

In a noteworthy development, Apple CEO Tim Cook acknowledged his personal use of OpenAI’s ChatGPT last year, albeit pointing out that certain unresolved issues needed attention. He pledged a deliberate approach to introducing new AI features across Apple’s product lineup.

During Apple’s recent earnings conference call, Cook underscored the company’s confidence in its AI capabilities, emphasizing the advantage conferred by its seamless integration of hardware, software, and services.