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Apple to Pay Google $1 Billion Per Year for Siri's Custom Gemini AI Model

Apple chose Google over Anthropic to cut costs, paying $1 billion annually for a 1.2 trillion parameter Gemini AI model to upgrade Siri by spring 2026.

  • Earlier this week, Bloomberg reported Apple will pay Google $1 billion annually for a custom Gemini model with 1.2 trillion parameters to power Siri by spring 2026.
  • Apple evaluated Google versus Anthropic and Bloomberg says Anthropic would have cost $1.5 billion per year, while Apple has lagged in building AI and used OpenAI for generative features.
  • Technically, the model will use mixture‑of‑experts architecture running on Apple's private cloud compute servers while on‑device Apple models handle personal data.
  • Apple will downplay Google's involvement as the deal exists amid the U.S. Department of Justice antitrust case and Google's $20 billion annual payment to Apple, Bloomberg reported.
  • Limited public disclosure of rivals' parameter counts means whether Gemini-powered Siri stays competitive next year is unclear, while Apple's $4 trillion market cap supports costly AI options.
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Here’s how the Gemini-powered Siri will likely work under the hood

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The agreement between Google and Apple, which will cost 868 million euros per year, will help to put Siri at the level of the most current assistants, inspired by large-scale language models.

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Expansion broke the news in on Thursday, November 6, 2025.
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