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Fortune
Fortune
Jeremy Kahn, Beatrice Nolan

Why Google wins big in Apple AI deal, while OpenAI loses

Photo of Sundar Pichai (left) next to Apple CEO Tim Cook (Credit: Anna Moneymaker—Getty Images)

Apple and Google’s surprise AI partnership announcement on Monday sent shockwaves across the tech industry (and lifted Google’s market cap above $4 trillion). The two tech giants’ deal to infuse Google’s AI technology into Apple’s mobile software, including in an updated version of the Siri digital assistant, has major implications in the high-stakes battle to dominate AI and to own the platform that will define the next generation of computing.

While there are still many unanswered questions about the partnership, including the financial component and the duration of the deal, some key takeaways are already clear. Here’s why the deal is good news for Google, so-so news for Apple, and bad news for OpenAI.

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