Apple's recent deal to leverage Gemini to power the revamped Siri, as well as its on-device Foundation Models, might be substantially more lucrative for Google than previously believed, as per a new estimate from Deepwater Asset Management.
Deepwater Asset Management: Apple's Gemini-Siri deal might be worth as much as $5 billion to Google
Do note that Bloomberg's Mark Gurman previously disclosed that Apple would pay Google around $1 billion per year as a licensing fee of sorts for deploying a gigantic 1.2-trillion-parameter custom Gemini AI model on Apple's private servers, where the model would help process the more complex AI queries by using encrypted and stateless data to maintain user privacy.
The tie-up will also allow Apple to launch a revamped version of Siri, possibly with the upcoming iOS 26.4 update, bringing the much-delayed in-app actions, personal context awareness, and on-screen awareness to its bespoke voice assistant.
If we assume that Gurman's previous reporting on the topic was accurate, it then means that Google intends to provide its AI services to Apple for the next 5 years. This also suggests that we should not expect Apple to power Siri via its own AI models at least until 2031.
Of course, such an arrangement does not bother Apple, which stands to gain quite a lot from this tie-up. As we explained in a dedicated post recently, consider a scenario where you ask the revamped Siri to book a restaurant reservation. Would you then tell your friends that Google's Gemini booked the restaurant reservation? Of course not, as whatever technology powers Apple's bespoke voice assistant at the backend won't matter in the greater scheme of things, especially as users would only see and appreciate Apple's Siri with seemingly enhanced agentic abilities.
About the author: Writing is my one incontrovertible passion. Over the past six years, he has authored over 2,200 distinct articles on financial and tech-related topics, spanning nearly 1 million words. And he has been a member of Wcctech mobile team since 2025. As an alumnus of the University of Toronto, Rotman Commerce Program, I bring nuance, in-depth knowledge, and a unique perspective to every topic that I cover. When I'm not writing, I'm traveling the world, exploring hidden confectionaries and restaurants as an aspiring food connoisseur.
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