OpenAI weighs legal action against Apple
What's the story
OpenAI is considering legal action against Apple over a strained partnership, Bloomberg reported. The two tech giants had teamed up in 2024 to integrate OpenAI's ChatGPT into Apple's Siri and Image Playground on iOS, iPadOS, and macOS. However, the expected benefits from this collaboration have not materialized as anticipated.
Partnership details
OpenAI expected billions in revenue from Apple partnership
OpenAI had high hopes for the partnership, expecting it to generate billions of dollars in annual subscription revenue. This was reportedly based on Apple's characterization of the deal as an opportunity similar to its multi-billion-dollar agreement with Google for search in Safari. However, these financial expectations have not been met, leading to disappointment on OpenAI's part.
Issues faced
Integration process and user awareness challenges
Apple's secretive culture has left OpenAI in the dark about how ChatGPT would be integrated into its devices. An OpenAI executive told Bloomberg, "They basically said, 'OpenAI needs to take a leap of faith and trust us.'" The integration process also requires Siri users to use the word "ChatGPT" for results from OpenAI's chatbot. This limitation, along with Apple not sufficiently promoting the integration across its ecosystem, has led to fewer users knowing about it.
Legal considerations
Legal options being considered
In light of these challenges, OpenAI is weighing its legal options against Apple. This could include sending a notice alleging breach of contract without filing a full lawsuit right away. However, the company still hopes to resolve its issues with Apple outside of court. Notably, iOS 27 will support other chatbots such as Google's Gemini and Anthropic's Claude, but this isn't one of OpenAI's complaints since their partnership was never exclusive.