Apple Discussed Buying Mistral AI and Perplexity

According to The Information, Apple executives have debated acquiring Mistral AI and Perplexity to strengthen its AI capabilities. MacRumors reports: Services chief Eddy Cue is apparently the most vocal advocate of a deal to buy AI firms to bolster the company's offerings. Cue previously supported propositions of Apple acquiring Netflix and Tesla, both of which Apple CEO Tim Cook turned down. Other executives such as software chief Craig Federighi have reportedly been reluctant to acquire AI startups, believing that Apple can build its own AI technology in-house.

Apple is said to be hesitant to do a deal, which would likely cost billions of dollars. Apple has rarely spent more than a hundred million dollars on an acquisition, with Beats at $3 billion and Intel's wireless modem business at $1 billion. If a federal ruling ends the $20 billion deal between Apple and Alphabet that makes Google the default search engine on its devices, the company could be compelled to acquire an AI-powered search startup to fill that gap. For now, Apple apparently told bankers that it plans to continue with its strategy of focusing on smaller deals in AI.

Read more of this story at Slashdot.