Apple is nearing a deal with OpenAI to put ChatGPT on iPhone, marking a significant move towards infusing artificial intelligence (AI) capabilities into its devices.

The Business Times reported that sources familiar with the matter revealed that negotiations between the two entities are reaching their conclusion, with both parties ironing out the final details of the agreement.

The aim is to use ChatGPT features, developed by OpenAI, in Apple’s forthcoming iOS 18 – the next iteration of its iPhone operating system. Discussions have been ongoing, according to unnamed sources, as the matter is private.

Alongside OpenAI, Apple has also engaged in talks with Google, a subsidiary of Alphabet, regarding licensing its Gemini chatbot. However, these discussions have yet to yield a formal agreement and remain ongoing.

If sealed, the deal with OpenAI would enable Apple to introduce a widely-used chatbot as part of a suite of new AI features slated for announcement next month.

Bloomberg reports in April hinted at the “intensified” discussions between Apple and OpenAI, though there’s no certainty regarding an imminent announcement.

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Representatives from Apple, OpenAI, and Google have refrained from commenting on the matter.

Apple’s foray into artificial intelligence is poised to take centre stage during its annual Worldwide Developers Conference in June.

As part of this initiative, the tech giant plans to leverage its in-house processors within data centres to drive upcoming AI features, as Bloomberg reported.

Notably, Apple’s CEO, Mr Tim Cook, stated last year that he personally uses OpenAI’s ChatGPT. However, he acknowledged that “a number of issues that need to be sorted” concerning the technology.

Despite this, Mr Cook reassured stakeholders that new AI features would be introduced to Apple’s products on a “very thoughtful basis.”

During Apple’s recent earnings conference call, he reiterated the company would have an edge in AI.

In the call, he said:

We believe in the transformative power and promise of AI, and we believe we have advantages that will differentiate us in this new era, including Apple’s unique combination of seamless hardware, software and services integration.” /TISG

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