Apple's Quiet Retreat

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Wednesday Deep Dive

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The Wednesday Deep Dive takes a detailed look at what's new in AI. Each week, we share in-depth insights on new tools, proven prompts, and significant developments - helping tech professionals work smarter and stay ahead.

This week, we’re uncovering two areas in AI research:

🔍 The DOJ opens a historic trial against Google, with AI right at the center of its monopoly concerns.

🍏 Apple quietly walks back its “Available Now” AI claim, after the ad watchdog finds its marketing didn’t match reality.

Let's dive in.

🌐 AI News

Google’s Search Monopoly, Now Supercharged by AI?

On Monday, the Department of Justice (DOJ) kicked off a long-anticipated trial that could permanently alter how we search the web and how AI integrates into that experience.

The case isn’t just about the past. It’s about what’s coming next: how artificial intelligence may entrench Google’s online dominance.

🧩 Case Background

Google’s search engine has long operated under scrutiny, but this case is different. It’s the first antitrust trial in the U.S. where generative AI is being discussed not just as a standalone innovation, but as a potential tool for market dominance.

Prosecutors are demanding structural remedies. That includes forcing Google to sell its Chrome browser and even, if all else fails, its Android mobile OS, extraordinary measures reminiscent of the breakups of Standard Oil and AT&T.

Judge Amit Mehta previously ruled that Google’s deals to become the default search engine on browsers and smartphones were anticompetitive. Now, with generative AI like ChatGPT and Google’s Gemini changing how people interact with information, the court is being asked to take a forward-looking stance.

🔄 How AI Factors In

According to DOJ attorney David Dahlquist, the feedback loop is dangerous: Google’s search monopoly improves its AI models, and those same models funnel users back into Google Search. It’s a flywheel of dominance.

And it's not just theoretical. The DOJ revealed that Google is paying Samsung a monthly fee, undisclosed, but described as “enormous” to pre-install Gemini AI on its phones. That deal can extend into 2028.

It’s a new kind of default. Instead of owning the search bar, Google now wants to own the interface layer that AI will dominate. As Dahlquist put it: “This court’s remedy should be forward-looking and not ignore what is on the horizon.”

🗣️ Defense: This Is Just the Free Market

Google’s legal team hit back hard. In his opening statement, Google lawyer John Schmidtlein said the DOJ’s proposals are “a wishlist for competitors.” According to Google, other companies like OpenAI are thriving just fine, and the government shouldn’t hobble one company to help another.

In a blog post ahead of the trial, Google exec Lee-Anne Mulholland argued that the case wrongly ropes AI into a search lawsuit, calling the proposed remedies a threat to “American innovation at a critical juncture.”

Google has indicated it will appeal if the ruling doesn’t go its way.

📉 What the DOJ Wants

The Justice Department and attorneys general from multiple states aren’t just playing defense, they’re on the offensive, seeking to restructure how search works.

Their proposed remedies include:

• Ending Google’s exclusive default deals with device makers like Apple and Samsung

• Requiring Google to license its search results to competitors

• Potentially breaking up the company by forcing the sale of Android

This would drastically alter the search and mobile ecosystems. For example, Mozilla, which relies on payments from Google to survive, could be collateral damage if those revenue streams vanish. Google plans to call witnesses from Mozilla, Apple, and Verizon to argue that these payments help keep the ecosystem competitive, not monopolized.

⚖️ Why It Matters

This case represents the largest legal challenge to Google’s business since its founding. But beyond the company itself, the case is a signal flare for the rest of the industry: AI can’t be used as a shield for anticompetitive behavior.

It also reinforces bipartisan interest in regulating Big Tech. DOJ officials in the courtroom emphasized that the case has support across both the Trump and Biden administrations.

The courtroom drama is just beginning. OpenAI’s Nick Turley was scheduled to testify this week, and more heavyweight witnesses are expected in the coming days.

🌐 AI News

Apple Walks Back Its AI Promise

Apple just got a reality check from the National Advertising Division (NAD), a watchdog that polices truth in advertising.

📉 What Happened

Apple removed the “Available Now” label from its Apple Intelligence page after NAD concluded that the language was misleading.

According to NAD’s review, Apple’s marketing created the impression that AI-powered features like Genmoji, Priority Notifications, Image Playground, and the ChatGPT integration were all live and ready with the iPhone 16 launch. That wasn’t the case.

While Apple had released some AI-powered tools, such as writing aids and photo object removal, others were still in development or only arrived in later updates.

To make matters worse, Apple had also listed its revamped Siri under the “available now” heading, even though the AI-powered assistant still hasn’t shipped.

📝 NAD’s Recommendation

The NAD didn’t just slap Apple on the wrist. It formally recommended that the company:

• Remove or modify the “Available Now” language

• Make footnotes explaining the feature rollout status more prominent and clearer

• Discontinue video ads (like the Bella Ramsey spot) that suggest full functionality is available

Apple complied. In a statement, the company said: “While we disagree with the NAD’s findings... we appreciate the opportunity to work with them and will follow their recommendations.”

It also pulled the “More Personal Siri” promotional video entirely.

🤖 Marketing AI Before It’s Ready?

Apple’s stumble highlights a growing trend: companies rushing to capitalize on the AI wave, even if the features aren’t quite ready for prime time.

This incident won’t trigger any fines, but it sends a strong message. Consumers—and regulators—expect clarity when it comes to AI capabilities. “Coming soon” and “available now” aren’t interchangeable, especially in an industry where the hype often outpaces the tech.

For Apple, the timing is delicate. With Siri’s long-awaited AI makeover still MIA, and competitors like Google and OpenAI pushing ahead, the pressure is on to deliver and to communicate honestly.

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