Google may get important AI endorsement from Apple, says BofA

BofA notes that per Bloomberg, Apple (AAPL) is developing a new AI-powered web search feature for Siri, internally dubbed “World Knowledge Answers,” with plans to launch in Spring 2026. The article suggests that the tool might be powered by a customized version of Google’s (GOOGL) Gemini model. This feature is expected to enhance Siri’s capabilities by delivering richer, more conversational responses, moving the assistant closer to ChatGPT like functionality. The new capability is also expected to extend beyond Siri, with possible integration into Safari and Spotlight. BofA believes an AI deal would be strong endorsement of Google’s improving AI capabilities. The deal would also demonstrate Google’s ability to modularize its models for third-party use cases, whether embedded in search, messaging, or system-level assistants. If embedded into Safari and Spotlight, Gemini would further entrench Google within the iOS ecosystem, reinforcing company’s competitiveness and distribution moat. The firm has a Buy rating on Alphabet (GOOG) with a price target of $252.