Despite OpenAI securing an initial Siri integration, Google's long-standing relationship with Apple won the more significant partnership. This shows that for AI model distribution, powerful incumbent relationships can be more decisive than speed, pressuring challengers like OpenAI to build their own hardware and distribution channels.

OpenAI's move away from e-commerce integrations creates lopsided partnerships. Companies like PayPal committed to large enterprise spending with the expectation of deep product integration (like in-app checkouts), which is now gone. This could jeopardize OpenAI's future enterprise sales to these key partners.

The partnership has shifted from Microsoft holding the power to OpenAI acting with autonomy. Similar to how Apple and Google eventually dominated the carriers who initially funded them, OpenAI now has the scale and valuation to make deals with Microsoft's competitors (like AWS), weakening Microsoft's exclusive advantage.

Reports of OpenAI considering legal action against Apple over the ChatGPT integration reveal deep strategic tensions. Apple's lackluster integration and exploration of competitors like Google and Anthropic suggest they view OpenAI as a disposable partner, not a cornerstone of their AI ecosystem.

The true challenge for the rumored OpenAI hardware isn't production, but breaking through Apple's powerful ecosystem effects, particularly iMessage integration. User adoption of a new, screenless form factor is another major, unsolved problem that has stumped previous startups.

By integrating Google's Gemini directly into Siri, Apple poses a significant threat to OpenAI. The move isn't primarily to sell more iPhones, but to commoditize the AI layer and siphon off daily queries from the ChatGPT app. This default, native integration could erode OpenAI's mobile user base without Apple needing to build its own model.

Apple considers OpenAI a direct existential threat, not a potential partner. With OpenAI developing hardware like AirPods competitors and having ambitions for an "iPhone killer," Apple is unwilling to work with a company actively trying to put it out of business.

Microsoft executed a brilliant financial trade with its OpenAI investment but created a product dependency. By betting on an external 'religion' instead of building its own, Microsoft now faces a partner that is becoming a competitor, leaving investors worried about its long-term, integrated AI product strategy.

Apple's partnership with Google for Siri was less about Google's technological superiority and more a strategic move to avoid empowering OpenAI, which is increasingly becoming a direct competitor in consumer hardware like smart glasses and audio devices. Giving OpenAI access to Apple's ecosystem would train a future rival.