Google CEO Sundar Pichai testified in Washington this week that the company is aiming to reach an agreement with Apple by mid-year to integrate its Gemini artificial intelligence (AI) technology into upcoming iPhones. The testimony came during an ongoing antitrust trial in which the US Department of Justice (DOJ) is seeking to impose significant restrictions on Google’s business practices. While no deal has yet been finalized, Pichai confirmed that discussions had taken place with Apple CEO Tim Cook in 2023, and a potential arrangement could see Gemini incorporated into Apple’s forthcoming suite of AI features known as Apple Intelligence.
Pichai also noted that Google is considering the introduction of advertising within its Gemini AI app, suggesting new monetization strategies as it navigates regulatory scrutiny. The DOJ is attempting to demonstrate how Google could leverage its current dominance in online search to secure an edge in the emerging AI space. According to a previous ruling by US District Judge Amit Mehta, Google has maintained a monopoly by paying billions of dollars to smartphone manufacturers and wireless carriers, such as Apple, Samsung, AT&T, and Verizon, to remain the default search engine on new devices.
The DOJ and state attorneys general are pushing for a range of remedies that include banning Google from making such payments, forcing the sale of its Chrome web browser, and requiring the company to share its search data and index with rival firms. Pichai criticized these proposals as overly intrusive and damaging to innovation. He warned that requiring Google to share its search index and query data would amount to an effective divestiture of the company’s core intellectual property, making it easy for competitors to reverse-engineer Google’s search capabilities.
Such measures, Pichai argued, would deter Google from continuing its longstanding investments in research and development. He emphasized that the success of Google’s search platform over the past two decades has been driven by significant R&D, which could be undermined by forced data-sharing provisions. Google has signaled that it will appeal any unfavorable ruling once the judge reaches a final decision, potentially setting the stage for a prolonged legal battle that could reshape the digital landscape and redefine how dominant tech firms operate in competitive markets.
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