Apple Reportedly Isn't Paying OpenAI for ChatGPT Integration

Apple unveiled a landmark partnership with OpenAI this week at WWDC 2024 that will integrate OpenAI's ChatGPT chatbot into iPhone, iPad, and Mac devices. However, Apple reportedly did not pay any money to OpenAI as part of the deal. 

Speaking at Apple's annual Worldwide Developers Conference (WWDC) 2024, CEO Tim Cook and other executives showcased the new ChatGPT integration but did not disclose any financial terms of the deal. But according to a Bloomberg report that cites sources briefed on the agreement, Apple is not paying OpenAI due to the belief that exposing OpenAI's technology to Apple's millions of users is valuable enough on its own.

Through the partnership, ChatGPT's conversational abilities will be woven into Apple's digital assistant Siri as well as new writing tools. Siri users will be able to tap into ChatGPT's capabilities for tasks like menu creation, article summarisation and photo searches. Apple's writing apps will also utilise ChatGPT for story writing, rewriting and proofreading. 

While users can enjoy these features without signing up or paying for ChatGPT, subscribing to OpenAI's $20 per month Plus plan unlocks additional perks. If Apple users subscribe through an iOS or macOS device, the company could be aiming to generate ongoing earnings from AI by negotiating deals where it takes a cut of partners' monetisation of chatbots and other services on Apple platforms.