01:37 PM EDT, 05/14/2024 (MT Newswires) -- Alphabet's (GOOG, GOOGL) Google I/O conference on Tuesday may feature an announcement for the company's Gemini to power Apple's ( AAPL ) iPhone apps during the event's focus on artificial intelligence, UBS Securities said in a report.

Gemini-powered Apple ( AAPL ) apps may include iMessage, Photos, Mail, Swiftkey and Siri, UBS said Tuesday in the report. If the announcement doesn't happen at Google I/O, the collaboration is likely to be unveiled at Apple's ( AAPL ) Worldwide Developers Conference in June.

The potential deal will follow Google's ( GOOG ) recent partnership with Samsung, which may serve as a blueprint, UBS said. The Samsung collaboration is multiyear and will offer Google ( GOOG )-enabled generative AI features for free until 2025 and combines an on-device smaller model and cloud-based larger models to support translation, image editing, and summarization features, the report said.

"We view a multiyear deal as a net positive as it provides a longer lock-in for Google ( GOOG ) to grow users and usage-providing the features for free allows Google ( GOOG ) to drive up user adoption and fine tune its model responses," the report said.

It's uncertain whether Google ( GOOG ) can make an exclusive deal with Apple ( AAPL ) or whether regulators would allow it, UBS said. Adding Apple ( AAPL ) as a locked-in vendor, along with current partners Samsung, Oppo and OnePlus alongside Google's ( GOOG ) Pixel phones may give Google ( GOOG ) exclusive access to 49% of the global smartphone market, or about 40% of mobile users, the report said.

UBS has a neutral rating on Alphabet and a $173 price target.

Alphabet shares rose 0.9% in recent trading Tuesday, and Apple ( AAPL ) gained 0.2%.

Price: 172.43, Change: +1.53, Percent Change: +0.89