NEW YORK, Jan 13, 2026, 10:14 (EST) — Regular session
- Alphabet shares climbed roughly 1.7% after Apple chose Google’s Gemini to power an upgraded Siri
- This deal places Gemini ahead of Apple’s ecosystem, which boasts over 2 billion active devices
- Traders are zeroing in on the Fed’s Jan. 27-28 meeting and Alphabet’s Feb. 4 earnings for fresh signals
Alphabet shares rose roughly 1.7% to $337.65 in early trading Tuesday, fueled by investor enthusiasm over a fresh AI partnership with Apple. Other big tech names, however, showed a mixed picture.
Apple plans to integrate Google’s Gemini models into a redesigned Siri later this year, under a multi-year agreement that expands Alphabet’s footprint across Apple’s vast installed base. Google touted Gemini as the “most capable foundation” for the upgrade. Tesla CEO Elon Musk slammed the move, calling it an “unreasonable concentration of power.” Meanwhile, one analyst noted this deal relegates OpenAI to a “supporting role” on Apple devices. (Reuters)
The move is significant since distribution remains tight in generative AI, and Apple’s platform isn’t easy to access through spending alone. Alphabet briefly hit a $4 trillion valuation on Monday. Phil Blancato, CEO of Ladenburg Thalmann Asset Management, remarked, “It’s the one name that has surprised us all.” (Reuters)
Tuesday’s U.S. inflation figures barely shifted sentiment. Consumer prices increased 0.3% in December and were up 2.7% year-over-year, according to the latest report. Core CPI, excluding food and energy, climbed 0.2% for the month. (Reuters)
U.S. stocks kicked off the session close to record highs, with the Dow climbing 26.8 points to 49,616.95. The S&P 500 held steady at 6,977.41, while the Nasdaq inched up slightly, according to Reuters. (Reuters)
Major investors are pushing the AI play past top tech giants. BlackRock noted that clients surveyed across EMEA favored power and infrastructure names over the biggest U.S. tech stocks for their 2026 AI bets. Ibrahim Kanan at BlackRock advised investors to “risk-manage megacap and AI exposure.” (Reuters)
Power concerns are now creeping into corporate strategies. On Tuesday, Microsoft unveiled a plan to prevent its U.S. data centers from pushing electricity costs higher and pledged to replace more water than those centers use. (Reuters)
On the hardware front, Nvidia clarified it does not ask for upfront payment on its H200 chips, emphasizing it “would never require customers to pay for products they do not receive,” following a Reuters report about payment terms related to shipments into China. (Reuters)
But the Apple-Google alliance isn’t without its complications. It may trigger renewed scrutiny from regulators, especially as policymakers and investors debate the extent of control—and pricing influence—held by a small group of platforms.
The Federal Reserve’s upcoming meeting on Jan. 27-28 is the next major macro event, as markets watch closely for any changes in the officials’ tone on interest rates following Tuesday’s inflation data. (Federal Reserve)
Alphabet has locked in a date. The company plans to review its fourth-quarter and full-year 2025 results on Feb. 4 at 4:30 p.m. Eastern, offering investors their first official opportunity to dig into the financials behind the Apple deal. (Alphabet)
At the moment, the stock is reacting mainly to the headline and the reach. The next step probably depends on what Alphabet reveals on Feb. 4 about Gemini’s revenue model, the pace of its integration into Siri, and if AI expenses begin to impact margins.
