Jul 4, 2024, 11:18 PM
Jul 2, 2024, 12:00 AM

Apple secures a seat on OpenAI board in innovative partnership deal

Highlights
  • Apple and OpenAI have formed a new partnership agreement.
  • Apple to receive a seat on OpenAI board as part of the deal.
  • The collaboration is seen as a strategic move in the AI industry.
Story

In a groundbreaking deal announced last month, Apple is set to secure a board observer seat at OpenAI, a prominent AI company known for its ChatGPT technology. Phil Schiller, Apple's former marketing chief and head of the App Store, has been chosen to represent Apple on the OpenAI board. While Schiller has not yet attended any board meetings, the new arrangement is expected to commence later this year. As an observer, Schiller will gain valuable insights into OpenAI's operations, aiding Apple in integrating artificial intelligence into its products like Siri. Apple's decision to partner with OpenAI aligns with its broader AI strategy, which includes enhancing its in-house AI features under the banner of Apple Intelligence. This strategy encompasses developing new AI capabilities such as article summarization, custom emoji creation, image generation, and voice memo transcription. Apple CEO Tim Cook emphasized the company's focus on combining generative models with personal context to deliver highly relevant intelligence to users. While Apple may not see immediate financial gains from the deal, it stands to benefit from increased access to OpenAI's technology and potential revenue from ChatGPT subscriptions on its platforms. The integration of OpenAI's ChatGPT into Apple's devices marks a significant step in the tech giant's AI roadmap. By offering users a choice of AI models tailored to specific tasks like creative writing or coding, Apple aims to empower users with personalized AI experiences. This move underscores Apple's commitment to staying at the forefront of AI innovation and providing users with intelligent and useful features. Microsoft, another tech heavyweight, had previously secured a similar non-voting observer position on OpenAI's board, highlighting the competitive landscape in the AI industry. The partnership between Apple and OpenAI has raised questions about how Apple's presence on the board will impact its relationship with Microsoft, OpenAI's major backer. With Apple joining as a board observer alongside Microsoft, the dynamics within OpenAI's governance structure are evolving. The collaboration between Apple and OpenAI represents a significant milestone in the AI landscape, signaling a strategic alignment between two tech giants in advancing AI capabilities for the benefit of users.

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