Comment by ggm

I think this is a good move for Apple. It avoids tying them directly to internalised beliefs in their own AI model, it avoids all the capex around building out an AI engine and associated DC, it reduces risk, and it keeps google in a relationship under contract which google will value, and probably value enough to think hard about stupid legal games regarding Playstore and walled gardens.

Apple plainly doesn't believe in the uplift and impending AGI doom. Nor do they believe there's no value in AI services. They just think for NOW at least they can buy in better than they can own.

But based on Apples VLSI longterm vision, on their other behaviours in times past with IPR in any space, they will ultimately take ownership.