Apple to Reveal $1 B Google Gemini-Powered Siri and AI Integration at WWDC
AAPL•At WWDC on June 8 Apple will unveil a significantly upgraded Siri powered by Google’s 1.2-trillion-parameter Gemini model under a $1 billion annual deal, alongside deeper AI integration across iOS 27 and macOS. The update opens Apple Intelligence to third-party models and could drive an extra $15 billion in annual services revenue.
1. WWDC AI Focus
Apple will kick off WWDC on June 8 by showcasing an enhanced Siri assistant powered by Google’s custom 1.2-trillion-parameter Gemini model, secured under a $1 billion annual agreement. The standalone Siri app is expected to leverage on-device processing and Private Cloud Compute for improved responsiveness and privacy.
2. Platform Integration and Developer Tools
iOS 27 and macOS updates will enable deeper AI across core apps, allowing users to choose from multiple AI providers such as Claude and Gemini. New developer tools will support app-intent capabilities and facilitate seamless integration of third-party models into Apple Intelligence features.
3. Monetization and Revenue Impact
Wedbush projects the expanded AI ecosystem could generate an additional $15 billion in annual services revenue, while Bank of America highlights potential boosts to iPhone demand from smarter software. Analysts maintain Buy ratings with price targets ranging from $380 to $400.
4. Leadership and Strategic Implications
WWDC serves as a foundational moment for incoming CEO John Ternus, whose growth strategy will be judged on successful AI execution. A strong AI rollout could reinforce Apple’s competitive position against rivals lacking comparable on-device infrastructure.
