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Apple Partners with Google for Siri AI Upgrade as Alphabet Hits $4 Trillion Valuation

2026-01-12

The BareStory

Apple and Google have entered a multi-year partnership to integrate Google’s Gemini artificial intelligence models into Apple’s product ecosystem. According to a joint statement released on Monday, the collaboration will utilize Google’s technology and cloud capabilities to support Apple's future foundational models. This initiative is designed to power an upgraded version of the Siri voice assistant, which is expected to be released later this year.

In a statement regarding the deal, Apple noted that it selected Google after determining its technology provided the most capable foundation for the company's requirements. The companies confirmed that the AI models will operate on Apple devices and within Apple's private cloud compute infrastructure. While financial terms were not disclosed, Apple stated that this new agreement does not alter its existing partnership with OpenAI, which currently facilitates ChatGPT integration within Siri.

Following the announcement, shares of Google’s parent company, Alphabet, rose approximately 1%, pushing its market capitalization to the $4 trillion mark. Alphabet becomes the fourth company to reach this valuation milestone, joining Nvidia, Microsoft, and Apple. The achievement follows a strong financial performance in 2025, during which Alphabet's stock rallied 65%, allowing its market value to recently surpass Apple’s for the first time since 2019.

Left Perspective

  • Selection based on capability
  • Infrastructure and privacy control
  • Retention of existing partnerships

Right Perspective

  • Achievement of financial milestone
  • Stock rally and immediate growth
  • Competitive market position

How it may affect me

As a U.S. reader:

• Users of Apple devices can expect an upgraded version of the Siri voice assistant later this year, powered by Google's Gemini artificial intelligence technology.

• Interactions with these new AI features will occur on-device or within Apple’s private cloud infrastructure, keeping data handling within Apple’s ecosystem rather than third-party public clouds.

• Investors may observe shifting market dynamics as Alphabet surpasses Apple in market value, becoming the fourth company to reach a $4 trillion valuation milestone.

• Consumers using Siri will continue to have access to ChatGPT integration, as Apple maintains its existing partnership with OpenAI alongside this new collaboration with Google.

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