Apple is reportedly set to secure an observer role on OpenAI's board following last month’s announced integration of ChatGPT into its AI features for iPhone, iPad and Mac devices.

According to a report from Bloomberg, Phil Schiller, Apple's App Store chief and former marketing head, has been selected to represent the iPhone maker. As a board observer, Schiller would reportedly attend meetings without voting rights or other director powers, but would gain insight into OpenAI's decision-making processes.

If confirmed, this arrangement would allegedly put Apple on par with Microsoft, OpenAI's primary backer and AI technology provider. However, the presence of both tech giants at board meetings could potentially lead to complications, given their complex history as both rivals and partners.

The collaboration between Apple and OpenAI does not currently involve a financial arrangement. Instead, OpenAI stands to gain access to hundreds of millions of potential users through Apple's devices, while Apple acquires a much-sought-after chatbot feature for its customers. Users will also have the option to access a paid version of ChatGPT on Apple devices, potentially generating App Store fees for the company.

Apple's AI strategy extends beyond the OpenAI partnership, encompassing in-house features under the "Apple Intelligence" banner. These include tools for summarising articles and notifications, creating custom emojis and images, and transcribing voice memos. A revamped version of the Siri digital assistant is also in the works, though many enhancements are not expected until next year.

The company is reportedly in discussions with other AI firms, including Google, Anthropic, Baidu, and Alibaba, to expand its chatbot offerings and bring AI features to devices in China.

While this partnership marks a significant step for Apple in the AI race, it also aligns the company with a startup known for its fair share of controversy. OpenAI has faced criticism over AI safety concerns and experienced a brief leadership upheaval last year when chief exec Sam Altman was temporarily ousted.

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