🚨 Apple’s Paying Google $1B/Year to Power Siri

Today’s Highlights:

• 🚨 Apple Nears $1 B‑Per‑Year Deal with Google to Power Siri

• 📱 Perplexity to Pay Snap $400M to Power Search in Snapchat

• 🧠 OpenAI Launches IndQA

• 🛠️ Google Cloud Upgrades Agent Builder to Outpace OpenAI

• 📱 Google Chrome Adds AI Mode for Smarter Mobile Search

• 💰 OpenAI & SoftBank Launch Japan JV

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LATEST AI NEWS

APPLE & GOOGLE

🚨 Apple Nears $1 B‑Per‑Year Deal with Google to Power Siri

Apple is reportedly close to finalizing an agreement to pay roughly $1 billion annually to Google LLC for access to a custom version of its Gemini AI model that will underpin the next‑generation Siri assistant. 

The Details:

• The model in question has around 1.2 trillion parameters, vastly surpassing Apple’s current cloud‑based AI (≈150 billion parameters). 

• Apple evaluated AI offerings from Google, OpenAI and Anthropic before selecting Google’s model. 

• Under the arrangement, Apple will run the Gemini model on its own Private Cloud Compute servers to preserve user data privacy, rather than handing queries to Google’s public infrastructure. 

• The revamped Siri is expected to launch in spring 2026, though the timeline could change based on technical and market factors. 

• The deal signals a major shift: Apple has typically built its AI stack in‑house but is now relying on a competitor’s model as a stop‑gap while developing its own next‑gen system. 

Why it matters:

The move reflects how urgent the AI arms race has become—even a software‑and‑hardware powerhouse like Apple is outsourcing critical capabilities. For Google it’s a payday and strategic win; for Apple it’s a fast track to parity.

PERPLEXITY & SNAPCHAT

📱 Perplexity to Pay Snap $400M to Power Search in Snapchat

AI startup Perplexity has struck a $400 million deal with Snap Inc. to integrate its search engine into the Snapchat app starting early 2026. 

The Details:

• Perplexity signed a $400M one-year deal with Snap—mix of cash and equity—to embed AI search in Snapchat

• The integration will embed Perplexity’s AI‑powered answer engine into Snapchat’s chat and search features. 

• Revenue stemming from the deal is expected to begin showing up in Snap’s results in 2026. 

• Snapchat’s user base exceeds 940 million monthly active users, giving Perplexity massive scale. 

• Snap’s Q3 2025 results coincided with the announcement: $1.51 billion revenue (+10 % YoY) and a net loss trimmed to $104 million. 

Why it matters:

This deal signals a new frontier where social apps become search platforms powered by AI. For Snap the move transforms it into an information destination; for Perplexity it’s a massive distribution boost against big‑tech rivals.

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MORE AI & TECH NEWS

• OpenAI launched IndQA, a new benchmark to evaluate AI’s cultural and linguistic understanding across 12 Indian languages and 10 knowledge domains, using reasoning-heavy questions crafted by experts.

• Google DeepMind introduced ForestCast, an AI tool that predicts deforestation risk using satellite imagery to help governments and communities take preventive action.

• Google Cloud upgraded Agent Builder with faster deployment tools, advanced observability, tighter security, and smarter context handling—aiming to stay ahead in the AI agent race.

• Tinder is testing Chemistry, an AI feature that uses your answers and photos to improve match suggestions. However, privacy concerns over camera roll access and subscriber drop-offs persist.

• Google Chrome added a new AI Mode button on mobile, making advanced search easier across 160 countries and multiple languages for both iOS and Android users.

• OpenAI and SoftBank formed a 50-50 JV in Japan to distribute AI tools. Critics question the financial model, as SoftBank is also its first client—creating a “circular” money loop.

• Google identified a new VBScript malware named PROMPTFLUX that uses Gemini AI to rewrite itself hourly, enabling real-time evasion and marking a shift in how AI is weaponized in cyberattacks

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