Apple Pays Google $1B Yearly for Gemini as Siri Upgrade Accelerates

On June 26, 2026, reports confirm Apple will pay Alphabet roughly $1 billion annually to integrate Gemini into Siri. The arrangement lets Apple rapidly improve Siri performance without bearing the full cost of frontier-model development. Analysts note the payment is modest next to the $20 billion Google reportedly pays Apple each year to remain the default iPhone search engine, underscoring Apple’s stronger negotiating position and control of its 2-billion-user ecosystem. The deal also highlights diverging capital discipline, with Apple’s 2025 AI spend at $12.7 billion versus Alphabet’s $90 billion.