In a strategic move to enhance its iPhone offerings in China, Apple has formed a partnership with Alibaba Group Holding, according to the South China Morning Post. This collaboration aims to integrate advanced artificial intelligence (AI) features into Apple’s devices, leveraging Alibaba’s cutting-edge Qwen AI model. The decision to partner with Alibaba comes as Apple grapples with a significant decline in iPhone sales in the Chinese market, where the lack of local AI capabilities has been a notable disadvantage. Apple’s CEO, Tim Cook, acknowledged a recent 11% drop in sales, attributing it to the absence of Apple Intelligence, while competitors like Huawei have rapidly advanced in this area. Before settling on Alibaba, Apple explored partnerships with other AI startups such as DeepSeek and ByteDance. Alibaba recently introduced the Qwen 2.5 AI model, which it claims surpasses DeepSeek-V3, a move that could be pivotal for Apple, especially after experiencing weaker sales during the holiday season. Both companies have now submitted their jointly developed AI features for iPhones to China’s cyberspace regulator for approval.
Apple Teams Up with Alibaba to Boost AI Features on iPhones in China
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