OpenAI Prepares Legal Action Against Apple Over Unraveling ChatGPT-Siri Partnership
OpenAI is preparing to sue Apple over a partnership that was supposed to be the next Google search deal. This comes after two years of collaboration on integrating ChatGPT into Siri, which has not delivered on expected subscription revenue.
Background
- June 2024: OpenAI and Apple announce a strategic partnership integrating ChatGPT into various iOS features.
- Expected Outcome: OpenAI anticipated billions in annual revenue from enhanced Siri capabilities and subscriptions.
- Current Reality: Apple’s implementation buries ChatGPT behind usability issues, users prefer the standalone app, and alternative AI models are gaining ground on iOS.
Key Issues
- Distribution: Apple’s integration limits access to ChatGPT, making it less appealing to users.
- Revenue: The partnership has not generated substantial subscription revenue as expected.
- Brand Damage: OpenAI believes the implementation has negatively impacted its brand image.
- Competitive Landscape: Apple recently struck a $1 billion deal with Google for Siri’s underlying AI and opened iOS 27 to rival AI models.
Legal Options
OpenAI lawyers, in collaboration with an external firm, are exploring options including:
- Sending Apple a breach-of-contract notice.
- Pursuing legal action if the dispute cannot be resolved amicably.
Despite these considerations, OpenAI hopes to resolve the matter without going to court. The company’s acquisition of Jony Ive’s device startup adds an additional layer of tension between the two entities.