Alphabet refused to answer investor questions about its artificial intelligence partnership with Apple during Wednesday’s fourth quarter earnings call, signaling strategic sensitivities surrounding a deal that could see Google’s Gemini technology power the next generation of Siri across 2.5 billion Apple devices worldwide.
When an analyst asked how Google is thinking about AI partnerships, specifically referencing the arrangement to enhance Siri, Alphabet executives completely ignored the question during the February 4, 2026, earnings call that otherwise focused heavily on artificial intelligence and long term growth, according to TechCrunch. The deliberate omission suggests both companies prefer managing potential regulatory obstacles and unresolved strategic issues away from public scrutiny.
Alphabet Chief Executive Officer Sundar Pichai and Chief Business Officer Philipp Schindler provided only brief scripted mentions of the Apple collaboration, both using identical wording to describe Google as Apple’s preferred cloud provider developing next generation Apple Foundation Models based on Gemini technology. Neither executive elaborated on financial terms, technical implementation details, or how the partnership would affect Alphabet’s core business.
Apple announced in January 2026 that it had selected Google’s Gemini artificial intelligence to power future Apple Intelligence features, including a more personalized Siri expected later this year. The multiyear partnership represents one of Gemini’s most prominent distribution wins, providing access to Apple’s massive installed base while Apple gains sophisticated language model capabilities it has not developed internally.
Bloomberg previously reported that Apple would pay approximately one billion dollars annually for a custom Gemini model featuring 1.2 trillion parameters, far exceeding capabilities of Apple’s existing models. Neither company confirmed the financial terms during their respective January earnings calls, with Apple Chief Executive Officer Tim Cook stating the company would not release arrangement details when asked about potential revenue sharing opportunities.
The partnership raises fundamental tensions for both companies. Apple has long marketed itself as a self reliant innovator building technology in house to preserve its privacy reputation and control over user experience. Relying on Google, which is also its biggest search rival, for core Siri functionality undermines that narrative and potentially explains why Apple reportedly masks Google’s involvement by rebranding the underlying technology as Apple Foundation Models version 10.
Confusion deepened during Alphabet’s earnings call when Pichai and Schindler described Google as Apple’s preferred cloud provider, suggesting Siri processing might occur on Google infrastructure rather than Apple’s Private Cloud Compute servers. This contradicts earlier Apple statements emphasizing that Apple Intelligence would continue running on Apple devices and Private Cloud Compute while maintaining industry leading privacy standards.
Bloomberg journalist Mark Gurman stated the conflicting messages indicate the Gemini powered Siri will run on Google’s infrastructure despite both companies’ refusal to directly confirm technical implementation details. Neither company has clarified whether the new Siri, expected with iOS 26.4 in March or April, will operate on Apple or Google servers, creating uncertainty about how Apple will maintain its privacy commitments under the arrangement.
The deal’s structure differs significantly from the existing Google Apple search partnership, which generates clear revenue streams through advertising. United States Department of Justice antitrust case filings revealed Google pays Apple approximately 20 billion dollars annually to remain the default search engine on iPhones and other Apple devices, providing Google access to one of the world’s largest consumer ecosystems.
The new artificial intelligence focused partnership appears more complicated because AI driven interfaces do not yet offer clear or proven monetization paths comparable to search advertising revenue. Industry observers note that Alphabet is navigating a treacherous transition from a 20 billion dollar search arrangement to a one billion dollar AI deal with unclear monetization prospects and no obvious advertising integration opportunities.
Regulatory considerations may partially explain the secrecy. Google and Apple’s search deal has faced antitrust scrutiny, with authorities warning against exclusive generative AI arrangements that might stifle competition. Under those conditions, disclosing detailed information about a new AI pact could invite closer examination from regulators in the United States and beyond, particularly after a federal judge ruled in 2024 that Google holds an illegal internet search monopoly while still allowing payments to Apple to continue.
Gil Luria, Managing Director at technology research firm D.A. Davidson, stated that while Google may not receive specific consumer information from the partnership, the company could gain access to query patterns that help train its AI models. The scale of Apple’s user base provides critical mass for Google even without direct user data access, analysts emphasized.
The silence highlights strategic binds facing both companies. Apple needs best in class artificial intelligence to keep Siri competitive but lacks the large language model infrastructure Google spent years building. Google needs distribution for its Gemini technology but cannot afford to cannibalize its existing search relationship with Apple or signal weakness in its AI monetization strategy, according to industry analysis.
For investors attempting to value Alphabet’s artificial intelligence investments, Wednesday’s non answer represents a telling signal. The company appears uncertain how to make AI partnerships as profitable as search deals were and is not ready to publicly acknowledge that reality while experimenting with advertisements in AI Mode and facing competition from rivals like Anthropic challenging ad supported models entirely.
