Apple in Talks with OpenAI and Anthropic: Is Siri About to Get an AI Upgrade?

Apple’s Next Move in AI: A Strategic Shake-Up

Apple is reportedly in discussions with leading AI companies OpenAI and Anthropic as part of a major revamp of its voice assistant, Siri. This shift could signal a surprising pivot away from Apple’s in-house AI development efforts in favor of partnering with external leaders in the AI space. The move, if finalized, could change the trajectory of Apple’s artificial intelligence roadmap and raise serious questions about the future of Siri, its internal development teams, and Apple’s stance on privacy and control.

Apple’s AI Gamble: The Full Story

In an ongoing effort to boost Siri’s intelligence and capabilities, Apple is in early talks with both OpenAI and Anthropic. According to a report by Bloomberg’s Mark Gurman, Apple has approached these firms to develop tailored versions of their large language models (LLMs), which would run on Apple’s Private Cloud Compute infrastructure. This system, powered by Apple silicon, would help the tech giant maintain tighter control over user data and privacy — a core tenet of Apple’s brand identity.

Rather than fully relying on third-party cloud platforms like AWS or Microsoft Azure, Apple wants to bring the intelligence behind Siri closer to home — but not necessarily homegrown. Although Apple’s internal project, codenamed “LLM Siri,” is still active and targeting a 2026 rollout, insiders say results from testing have shown that Anthropic’s models are currently outperforming Apple’s own AI efforts. Consequently, Apple’s senior executive Adrian Perica has reportedly led discussions with Anthropic directly.

Apple’s Siri revamp initiative has been overseen by Mike Rockwell and Craig Federighi after CEO Tim Cook reportedly lost faith in John Giannandrea, the previous AI lead. This internal leadership shuffle underscores the urgency and strategic importance of this overhaul.

However, not everything is smooth sailing. Apple and Anthropic remain far apart on pricing — the AI startup is said to be asking for a multibillion-dollar annual fee with steep yearly increases. This financial tension has left Apple considering OpenAI or other alternatives if a deal can’t be struck.

Internally, the possibility of outsourcing Siri’s intelligence has stirred dissatisfaction. The Foundation Models team at Apple is reportedly demoralized, feeling unfairly blamed for slow progress. Some members have even quit, while others nearly resigned en masse — notably the team behind the MLX open-source AI framework — until Apple made last-minute counteroffers.

Adding to the tension is a growing compensation gap. Rivals like Meta and OpenAI are luring top AI talent with compensation packages reaching \$40 million annually, far surpassing what Apple traditionally offers. This talent war puts Apple in a vulnerable position as it seeks to catch up in generative AI.

What Undercode Say: The Strategic Shift Behind

Apple Is Playing Catch-Up in the AI Race

Despite being a leader in hardware and privacy-first ecosystems, Apple has significantly lagged behind in the generative AI revolution. Competitors like Microsoft and Google have already embedded powerful AI into their products, while OpenAI and Anthropic have become synonymous with cutting-edge language models. Apple’s potential partnerships suggest it now sees external AI as a faster route to innovation than continuing to rely solely on its internal development teams.

Strategic Control Through Private Cloud Compute

By insisting that any third-party LLMs run on its Private Cloud Compute infrastructure, Apple is taking a hybrid approach: external intelligence, internal control. This keeps privacy at the forefront — a core promise Apple makes to its users. If successful, this could allow Apple to benefit from top-tier AI performance while avoiding the privacy pitfalls that often accompany cloud-based services.

The Talent Crisis at Apple

One of the most revealing parts of this story is Apple’s internal talent challenge. As rivals throw massive salaries and perks at AI engineers, Apple’s traditional compensation model is failing to attract or retain top-tier talent. This problem has already cost Apple dearly in team morale and stability. Unless addressed, it could hamper the company’s ability to develop competitive AI models in the future.

The Future of Siri

For years, Siri has lagged behind Alexa, Google Assistant, and now AI-powered chatbots. With OpenAI’s ChatGPT and Anthropic’s Claude evolving rapidly, Apple’s integration of these technologies could finally elevate Siri from a basic voice assistant to a conversational AI powerhouse. However, it also means Siri’s future may no longer be 100% Apple-built — a philosophical shift for a company known for controlling every aspect of its products.

Pricing: A Dealbreaker?

Anthropic’s steep pricing demands — reportedly in the billions — could become a stumbling block. Apple is known for keeping tight control over margins and partner costs, which may make OpenAI a more viable alternative. Either way, these negotiations signal that Apple is serious about pushing Siri into the next era, even if it means writing massive checks.

Leadership Shake-Ups Signal Pressure

With Tim Cook stepping in and reshuffling leadership roles, the pressure to deliver a competitive AI experience is mounting. Apple rarely makes internal changes public unless there’s a major strategic shift happening behind the scenes — and this Siri revamp clearly qualifies.

Outlook: More Than Just a Smarter Siri

What’s happening isn’t just about Siri. It’s a test of Apple’s broader AI vision. Will it continue to try to build everything in-house, or adopt a more open, partnership-driven approach in its pursuit of cutting-edge technology? The answer could reshape not just Siri, but the entire Apple ecosystem over the next five years.

✅ Fact Checker Results

Apple has confirmed AI features will be part of upcoming iOS updates.
No final deal has been made with OpenAI or Anthropic as of now.
Internal AI team morale and compensation concerns have been reported by multiple sources, including Bloomberg.

🔮 Prediction

By 2026, Siri will likely operate as a hybrid AI assistant, blending Apple’s privacy-first platform with external intelligence from partners like OpenAI or Anthropic. If Apple finalizes these partnerships, Siri could leapfrog competitors in functionality — but at the cost of shifting away from its historical in-house approach. Expect Apple to increasingly focus on strategic AI collaborations while slowly evolving its internal models for long-term independence.

References:

Reported By: 9to5mac.com
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