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Apple Developing AI-Powered Search Engine to Challenge OpenAI and Perplexity

September 4, 2025

10:21

Apple Developing AI-Powered Search Engine to Challenge OpenAI and Perplexity

A bold move into AI-driven search

Apple is preparing to launch its own artificial intelligence-powered web search service, setting the stage for a high-stakes battle with OpenAI, Perplexity, and Google. The new system, internally dubbed World Knowledge Answers, will serve as an “answer engine” integrated into Siri, Safari, and Spotlight, according to people familiar with the company’s plans.

Expected as early as spring 2026, the rollout coincides with a long-awaited overhaul of Siri. Apple’s goal is to transform its voice assistant—once groundbreaking but now considered outdated—into a powerful, multi-modal platform capable of providing real-time, accurate, and contextual information.

What is Apple’s World Knowledge Answers?

World Knowledge Answers is designed to let users ask questions and receive detailed responses directly within Apple’s ecosystem. Unlike today’s Siri, which often defers to Google or external apps, the new system will:

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  • Pull information from across the internet, similar to ChatGPT or Google’s AI Overviews.
  • Integrate text, photos, videos, and local search points of interest.
  • Summarize results in digestible formats using generative AI.
  • Tie responses to personal data and on-screen content for deeper device integration.

Executives reportedly describe it as a hybrid between a search engine and a conversational assistant—positioning Apple as both a competitor to Google and a rival to the new wave of AI-driven search startups.

Why now? Apple’s AI urgency explained

Siri debuted in 2011 as a trailblazer in voice assistants. But while rivals like OpenAI and Anthropic rapidly advanced large language models (LLMs), Apple lagged behind.

Several factors are pushing Apple to act now:

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  1. Investor pressure: AI capabilities are reshaping tech valuations. Apple’s stock rose 3.8% in a single day after Bloomberg reported the search initiative.
  2. Shifting search habits: Eddy Cue, Apple’s services chief, admitted this year that queries from Apple devices to Google are dropping for the first time in two decades.
  3. Legal backdrop: A U.S. court recently upheld Apple’s lucrative $20 billion annual deal making Google the default search engine. While the deal continues, the ruling highlighted growing regulatory scrutiny, nudging Apple to diversify.
  4. Competitive heat: Perplexity, OpenAI’s ChatGPT, and Google Gemini are redefining how consumers discover information. Apple risks losing relevance if Siri cannot compete.

How will Apple build its AI search?

Apple’s strategy blends in-house models with external partnerships. Key components include:

  • Apple Foundation Models: Custom-built models to process user data securely, reinforcing Apple’s privacy-first positioning.
  • Google Gemini: A tailored version of Google’s model is under evaluation to power summarization and possibly query planning.
  • Anthropic Claude: Once the frontrunner, Claude lost ground after pricing disputes. Some Apple teams still consider it as a backup.
  • Planner + Summarizer Framework: Siri will use a “planner” to interpret intent, a web/device search engine to retrieve results, and a summarizer to deliver final answers.

The overhaul, internally code-named Linwood and LLM Siri, will debut with iOS 26.4 (codenamed Luck E), expected in March 2026.

Siri’s next chapter: beyond simple commands

The revamped Siri will move far beyond setting alarms or reading sports scores. Planned upgrades include:

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  • Contextual awareness: Using on-screen content to answer questions more accurately.
  • Deeper device navigation: Enabling voice-based control across apps and settings.
  • Visual redesign: A sleeker, more conversational interface.
  • Health and wellness expansion: An AI agent for personalized health recommendations, tied to a premium subscription service launching in 2026.

These enhancements reflect Apple’s shift toward embedding AI not as a standalone chatbot, but as an invisible layer across the iPhone, iPad, and Mac experience.

Apple vs. Google: competition and cooperation

The partnership with Google highlights Apple’s pragmatic approach. Despite their rivalry, Apple depends on Google both for default search and now potentially for Gemini-powered AI features.

This cooperation comes at a delicate moment:

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  • Regulators are scrutinizing Apple’s reliance on Google search.
  • Apple wants to reduce dependence but still leverage Google’s technological edge.
  • By blending Gemini with Apple’s private cloud infrastructure, the company aims to balance performance with its trademark focus on privacy.

Why Perplexity and Anthropic matter in the story

Apple evaluated acquiring Perplexity, a fast-rising AI search startup, and held talks with French AI firm Mistral. While those deals didn’t materialize, they underline Apple’s appetite for AI talent and intellectual property.

Perplexity’s user-friendly “answer engine” has gained traction by providing concise, cited results—a model Apple appears keen to emulate with World Knowledge Answers.

Anthropic, meanwhile, lost ground after demanding $1.5 billion annually to license Claude. Google stepped in with more favorable terms, tipping the balance.

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Internal challenges: talent drain and AI brain drain

Despite the ambitious roadmap, Apple faces significant internal hurdles. Its Foundation Models team has suffered heavy attrition in recent months. Key researchers, including division head Ruoming Pang, defected to rivals like Meta, OpenAI, and Anthropic with lucrative offers.

This talent drain raises questions about Apple’s ability to sustain its AI momentum, even as it ramps up acquisitions and partnerships to fill gaps.

What this means for users

If successful, Apple’s AI-powered search could transform the way people use iPhones and Macs:

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  • One-stop answers: Users may no longer need to open Safari or Google for basic queries.
  • Privacy-conscious AI: Personal data could be processed on-device or via Apple’s Private Cloud Compute, reducing reliance on external providers.
  • Tighter integration: AI features would be seamlessly woven into apps like Messages, Maps, and Health.

However, Apple’s approach is notably conservative compared to competitors—prioritizing privacy and stability over experimental rollouts. That could slow innovation but protect user trust.

The bigger picture: Apple’s AI comeback

Apple’s push into AI search is part of a broader strategy to reclaim ground lost to rivals. Alongside Vision Pro, the upcoming iPhone 17, and a rumored health subscription service, World Knowledge Answers signals that Apple intends to make AI central to its ecosystem.

But the question remains: will Apple’s trademark privacy and integration strengths outweigh its late start?

The next six months—culminating in Siri’s overhaul with iOS 26.4—will provide the first answers.