Analysts at Bank of America said in a note Wednesday that following the Google I/O event, all eyes are now on Apple (NASDAQ:).
The Google I/O event highlighted new Gemini AI capabilities, the bank said. It also noted that Apple has reportedly been in talks with Google to license Gemini AI.
There are now seen to be several key questions on the choice of the cloud-based AI provider, on-device model, and monetization.
“As we look forward to WWDC, the key questions are (1) Will Apple pick OpenAI or Google for cloud-based AI or both, (2) how will the economics work between the companies, (3) will Apple have to change the economics with Google (either because of the DOJ investigation or because of a new relationship with OpenAI), and what is the monetization model for AI across devices, apps and subscriptions,” said analysts.
“Given that both OpenAI and Google have provided updates on their AI capabilities, all eyes will now be on Apple and its progress at the upcoming WWDC 2024, taking place from June 10 to June 14, 2024.”
