Apple Builds Custom AI Model for China Market in Rare Partnership with Alibaba

Apple trained its own AI model for China with help from Alibaba

Apple has reportedly trained a custom AI model for the China market alongside domestic tech giant Alibaba, a rare cross-border partnership that cuts across growing tensions between Beijing and Washington. The China-focused large language model was developed in partnership with Alibaba and trained with the company's support, Reuters reports, citing three unnamed people familiar with the matter. Developing a custom model of its own marks a departure from Apple's previous strategy in the country and would give the company more control over its products in the competitive Chinese smartphone market. Historically, Apple has used domestic Chinese models to bring generative AI to its devices sold there, as the US models it uses elsewhere - like OpenAI's ChatGPT - aren't available. The report comes as Apple gears up to release Apple Intelligence in China. Sources told Reuters this should happen "in the coming months after an update to its iOS operating system." Apple officially registered the on-device generative AI service with China's cyberspace regulator last month, clearing a major regulatory hurdle for device rollout. The China-focused model gives Apple a leg up as a US company navigating Beijing's difficult regulatory landscape, particularly given escalating tensions surrounding AI development in recent months. AI models must be registered with and cleared by the government in China before public release. It would also make Apple the first US company approved to offer a proprietary AI model in China, according to Reuters. Apple did not immediately respond to The Verge's request for comment.

EXCLUSIVE: Apple trains its own AI model for China market with Alibaba's support, sources say

Aug 14 (Reuters) - Apple (AAPL.O), opens new tab has trained a large language model specifically for the China market, three people familiar with the matter said, a departure from the iPhone maker's strategy of relying on third-party models to power AI features in the country. The AI model was developed in partnership with Alibaba Group (9988.HK), opens new tab and trained with the Chinese tech giant's support, the people said, declining to be named as the information is sensitive and not public. Apple's training of its own China-specific model has not been reported before. The company had previously leaned towards domestic partners' models to bring generative AI to iPhones and other devices sold in China, where U.S. models such as Anthropic's Claude and OpenAI's ChatGPT, which Apple pairs with its own technology in its home market, are not available. Apple and Alibaba did not respond to requests for comment. Apple Intelligence, the ⁠company's suite of AI tools, is expected to launch in China in the coming months after an update to its iOS operating system, the people said. A China-tailored model of its own would give Apple greater control over the AI experience in its most competitive overseas market, where it has lost ground to local rivals including Huawei that have raced ahead with AI-equipped handsets. Apple's planned rollout represents a unique dual-track strategy on AI deployment for a foreign firm in China, which would allow it to navigate steep regulatory hurdles that have limited access for many other U.S. technology firms. It would also make Apple the first foreign company approved by Beijing to offer a proprietary AI model in China, marking a rare collaboration by U.S. and Chinese tech firms amid a widening trade and diplomatic rift between the two countries over AI. REGULATORY HURDLES CLEARED BUT UNCERTAINTY REMAINS The move follows a lengthy regulatory process that ended last month, when the Cyberspace Administration of China, the country's internet watchdog, registered Apple's generative ⁠AI service, clearing the way for Apple Intelligence to reach Chinese iPhones for the first time. Under that arrangement, Alibaba's Qwen model is to be incorporated into the version of Apple Intelligence that ships with compatible iPhone, iPad, Mac and Vision Pro models in China, and the service was also set to incorporate technology from Baidu, Reuters reported in July. Last week, Apple published a Chinese-language guide explaining how eligible Mac users in mainland China could connect Qwen to its Siri digital assistant and Writing Tools feature, a Mac-specific arrangement that could help it compete ⁠in China's AI PC market. Apple has since deleted the guide, without providing an explanation. Alibaba's U.S.-listed shares climbed about 4% in premarket trading on news of the July registration, underscoring investor expectations that the tie-up could reshape China's AI ecosystem. APPLE LOOKS TO AI FOR BOOST IN CHINA Apple's partnership with Alibaba was first confirmed in February 2025, when Alibaba chairman Joe Tsai, ⁠speaking at the World Governments Summit in Dubai, said Apple would use the Chinese company's AI to power its phones in China. "They talked to a number of companies in China. In the end they chose to do business with us," Tsai said at the time. The rollout was subsequently delayed as Apple worked to adapt ⁠its features to Chinese regulations. China remains critical to Apple's fortunes, accounting for a significant share of its revenue. The absence of AI features on Chinese iPhones had been cited as a factor weighing on sales as consumers gravitated toward domestic brands offering built-in AI assistants. It was not immediately clear what role Apple's self-trained model would play alongside third-party Chinese models and how those are working together. Reporting by Reuters staff; Editing by Eduardo Baptista and Sam Holmes Our Standards: The Thomson Reuters Trust Principles., opens new tab

Apple trained its own AI model for China, and handed the brain to Alibaba

The most controlling company in tech has built a China-only model to Beijing's rules, then leaned on Alibaba and Baidu for the parts that matter most. Apple has trained its own large language model for the Chinese market with Alibaba's support, a striking break from the company's usual habit of leaning on other people's models. According to a Reuters report, Apple is the first foreign firm Beijing has approved to offer a proprietary AI model in mainland China, a rare concession in a market that guards its algorithms closely. The model will power Apple Intelligence on the iPhone, iPad, Mac and Vision Pro sold in China, with a rollout expected in the coming months. It is the payoff of a partnership that Alibaba chairman Joe Tsai confirmed publicly back in February 2025, and that has taken most of the time since to clear the country's regulators. For a company that prizes control over every layer of its products, the arrangement is a curious one. Apple has trained the model, but the intelligence underneath is not entirely its own. This is the same firm that has been quietly testing Chinese memory chips as the global component crunch bites, and it is now making a similar bet on Chinese software. The division of labour is telling. Alibaba's Qwen model is folded into the Chinese version of Apple Intelligence, while Baidu's technology handles search. In other words, the two features users lean on most, the assistant that answers questions and the search that finds things, are powered by China's own champions rather than by Cupertino. For a firm that famously builds its own chips, designs its own software and resists outside dependencies wherever it can, that is quite the reversal. Regulatory reality explains the compromise. China's AI rules are strict, its censorship requirements stricter still, and every generative model offered to the public must be registered with the state. The Cyberspace Administration of China logged Apple's service in July 2026, roughly 22 months after Apple Intelligence first launched elsewhere, a delay that speaks to how carefully Beijing vets foreign technology. There is a competitive edge to it too. Domestic rivals have not waited around, and Huawei's AI-equipped phones have clawed back ground while Apple's assistant sat in regulatory limbo. Building a China-specific model, tuned to local rules and local partners, is Apple's way of recovering some of that lost momentum. The awkwardness of the position occasionally shows. Apple briefly published, then quietly deleted, a Chinese-language guide explaining how to connect Qwen to Siri and its Writing Tools, a small stumble that hinted at just how sensitive the choreography around this launch has become. Alibaba's US-listed shares rose about 4% after the July approval, and the stock has become a proxy for the idea that Qwen running inside Apple Intelligence is worth real money. The deal also lands in the middle of a wider argument about how far Western firms should entangle themselves with Chinese AI. Even Mark Zuckerberg has argued the US should not block Chinese AI models, though plenty in Washington take the opposite view and see any tie to Chinese models as a security risk to be contained rather than a market to be served. Apple knows the terrain. American lawmakers have already warned the company off Chinese memory chips on national-security grounds, and a home-grown Chinese AI model, however cleverly framed, is unlikely to escape similar scrutiny. For now, the story is less about a single model than about a template. Apple, the arch-controller of its own ecosystem, has outsourced the brain of its China AI to Alibaba and Baidu and built the rest to Beijing's specifications. It is a concession dressed up as a strategy, and a fairly clear illustration of the terms on which Western tech is allowed to operate inside China's walled garden. Whether rival firms read it as a warning or a manual may prove the more interesting question.

Apple's China AI strategy now includes training its own custom model, per report

Apple is reportedly taking a new route to bring artificial intelligence features to customers in China: training a large language model of its own with help from Alibaba. Reuters reports that three sources described the China-specific model as a departure from Apple's strategy of relying on third-party models. Alibaba reportedly supported the model's training, though neither company commented. Models including ChatGPT and Claude are unavailable in mainland China, making Apple's strategy there different from its approach in other major markets for now. The development follows Alibaba confirming its Apple partnership in February 2025. More recently, China's internet regulator registered Apple Intelligence for use on iPhones. Previous reporting said Alibaba's Qwen model and technology from Baidu would be incorporated into the localized system. Reuters says it remains unclear how Apple's new model will work alongside those third-party models. Apple Intelligence is expected to reach China in the coming months following an iOS update, according to the report. Elsewhere, Apple's overhauled Siri AI is scheduled to launch publicly with iOS 27 this fall where available. It will initially support select English variants, while iPhone and iPad availability in the EU is delayed. China's timeline remains unconfirmed.

Apple Trained Its own AI model for China Market With Help From Alibaba

Reuters reports that Apple has trained its own large language model for the China market, rather than relying on a third-party model to power its Apple Intelligence features in the country. The LLM has been developed with the help of Alibaba, according to the report's sources. The development marks a break from Apple's previous strategy of relying on domestic models to bring generative AI to its devices sold in China. Rollout of its AI features in China is expected in the coming months. The rollout is described by the report as a "dual-track strategy" for AI deployment in China, allowing Apple to navigate regulatory hurdles that have limited access for other U.S. tech companies. The move makes Apple the first foreign company approved by the Chinese government to offer a proprietary AI model in the country. Apple previously agreed with Chinese regulators to incorporate Alibaba's Qwen model into Apple Intelligence features, similar to Apple's existing ChatGPT extension available elsewhere. Apple briefly published a support guide in China explaining how Mac users can connect Alibaba's Qwen AI to Siri and Writing Tools, before pulling it entirely less than a day later.

Apple trains China-specific AI model with Alibaba's help

The move would make Apple the first foreign company approved by Beijing to offer a proprietary AI model in China Apple $AAPL has built its own large language model targeting the China market in collaboration with Alibaba Group, according to Reuters, citing three sources close to the situation. The development signals a shift away from Apple's earlier strategy of depending on outside partners' models to deliver AI capabilities to its China devices. A China-specific model would give Apple greater control over the AI experience in its most competitive overseas market, according to Reuters. Such an outcome would also position Apple as the first foreign company Beijing has cleared to deploy its own proprietary AI model in China -- a significant milestone for a U.S. firm at a time of deepening trade and diplomatic friction between the two nations over artificial intelligence. Apple Intelligence, the company's suite of AI tools, is expected to launch in China in the coming months following an iOS update, according to the same people. Questions remain about how Apple's proprietary model will fit into the broader picture alongside the Chinese third-party models it is also using, and the precise technical relationship between them has not been disclosed. The planned rollout follows a regulatory process that concluded last month, when China's Cyberspace Administration registered Apple's generative AI service, clearing the way for Apple Intelligence to reach Chinese iPhones. Alibaba confirmed that its Qwen model will be integrated into Apple Intelligence across iOS, iPadOS, macOS, and visionOS for users in China. Apple was also working with Baidu to develop Apple Intelligence features for Chinese iPhone users. The previous week, Apple put out a guide in Chinese detailing how eligible Mac users in mainland China could link Qwen with Siri and the Writing Tools feature. The guide has since been taken down by Apple, with no reason given. The tie-up between Apple and Alibaba became public in February 2025, when Alibaba chairman Joe Tsai took the stage at the World Governments Summit in Dubai and revealed that Apple had selected Alibaba to power its phones in China. "They talked to a number of companies in China. In the end they chose to do business with us," Joe Tsai said at the time. The rollout was subsequently delayed as Apple worked to adapt its features to Chinese regulations. China remains a critical market for Apple. Analysts and observers had pointed to the lack of AI capabilities on iPhones in China as a drag on sales, with buyers increasingly turning to homegrown device makers whose handsets come with AI features already embedded. Apple and Alibaba did not respond to requests for comment.

Apple Turns to Alibaba to Help Build AI Model for China

Apple Intelligence is expected to reach Chinese iPhones through an iOS update in the coming months. Apple trained its own AI model for China with Alibaba's help as it races to bring Apple Intelligence to Chinese customers, Reuters reported. Citing three people familiar with the matter, Reuters said the Cyberspace Administration of China registered Apple's generative AI service last month, clearing a key regulatory hurdle that has kept OpenAI's ChatGPT and Anthropic's Claude unavailable in China. Alibaba Chairman Joe Tsai confirmed the companies' arrangement in February 2025. "They talked to a number of companies in China," Tsai reportedly said at the time. "In the end they chose to do business with us." According to Reuters, Apple plans to pair its model with Alibaba's Qwen and technology from Baidu. It remains unclear what role each system will play; however, Apple Intelligence, the company's branded artificial intelligence initiative, is expected to reach Chinese iPhones through an iOS update "in the coming months." The news comes after a difficult year for Apple's AI business. In January, the company said its next-generation Foundation Models would use Google's Gemini, instead of a proprietary design, following delays and a weak reception for Apple Intelligence. In May, Apple agreed to pay $250 million to settle claims that it misled iPhone buyers about AI features that were unavailable at launch. The delay has left Apple trailing Chinese rivals such as Huawei, which already sells phones with AI features. In June, the company unveiled Siri AI, a rebuilt assistant that can hold conversations, analyze images, and use personal context. Apple said the assistant would enter beta later this year but remain unavailable in China while it worked through regulatory requirements.

Apple AI model China: Apple trains its own AI model for China market with Alibaba's support

The AI model was developed in partnership with Alibaba Group and trained with the Chinese tech giant's support, the people said, declining to be named as the information is sensitive and not public. Apple has trained a large language model specifically for the China market, three people familiar with the matter said, a departure from the iPhone maker's strategy of relying on third-party models to power AI features in the country. The AI model was developed in partnership with Alibaba Group and trained with the Chinese tech giant's support, the people said, declining to be named as the information is sensitive and not public. Apple's training of its own China-specific model has not been reported before. The company had previously leaned towards domestic partners' models to bring generative AI to iPhones and other devices sold in China, where U.S. models ⁠such as ⁠Anthropic's Claude and OpenAI's ChatGPT, which Apple pairs with its own technology in its home market, are not available. Apple and Alibaba did not respond to requests for comment. Apple Intelligence, the company's suite of AI tools, is expected to launch in China in the coming months after an update to its iOS operating system, the people said. A China-tailored model of its own would give Apple greater control over the AI experience in its most competitive overseas market, where it has lost ground to local rivals including Huawei that have raced ahead with AI-equipped handsets. Apple's planned rollout represents a unique dual-track strategy on AI deployment for a foreign firm in China, which would allow it to navigate steep ⁠regulatory hurdles that have limited access for many other U.S. technology firms. It would also make Apple the first foreign company approved by Beijing to offer a proprietary AI model in China, marking a rare collaboration by U.S. and Chinese tech firms amid ⁠a widening trade and diplomatic rift between the two countries over AI. REGULATORY HURDLES CLEARED BUT UNCERTAINTY REMAINS The move follows a lengthy regulatory process that ended last month, when the Cyberspace Administration of China, the country's internet watchdog, registered Apple's generative AI service, clearing the way for Apple Intelligence to reach Chinese iPhones for the first time. Under that arrangement, Alibaba's Qwen model is to be incorporated into the version of Apple Intelligence that ships with compatible iPhone, iPad, Mac and Vision Pro models in China, and the service was also set to incorporate technology from Baidu, Reuters reported in July. Last week, Apple published a Chinese-language guide explaining how eligible Mac users in mainland China could connect Qwen to its Siri digital assistant and Writing Tools feature, a Mac-specific arrangement that could help it compete in China's AI PC market. Apple has since deleted the guide, without providing an explanation. Alibaba's U.S.-listed shares climbed about 4% in premarket trading on news of the July registration, underscoring investor expectations that the tie-up could reshape China's ⁠AI ecosystem. APPLE LOOKS TO AI FOR BOOST IN CHINA Apple's partnership with Alibaba was first confirmed in February 2025, when Alibaba chairman Joe Tsai, speaking at the World Governments Summit in Dubai, said Apple would use the Chinese company's AI to power its phones in China. "They talked to a number of companies in China. In the end they chose to do business with us," Tsai said at the time. The rollout was subsequently delayed as Apple worked to adapt its features to Chinese regulations. China remains critical to Apple's fortunes, accounting for a significant share of its revenue. The absence of AI features on Chinese iPhones had been cited as a factor weighing on sales as consumers gravitated toward domestic brands offering built-in AI assistants. It was not immediately clear what role Apple's self-trained model would play alongside third-party Chinese models and how those are working together. (Reporting by Reuters staff; Editing by Eduardo Baptista and Sam Holmes)

Apple Makes Major AI Strategy Shift in China, Trains Own LLM With Alibaba in Bid to Counter Huawei: Repor

The AI model will fuel Apple's AI toolkit, Apple Intelligence, which is slated to debut in China in the coming months following an iOS update, Reuters reported on Friday. The rollout could coincide with new iPhone launches in September, according to previous reports. Apple and Alibaba did not immediately respond to Benzinga's request for comments. Apple Shifts Strategy This is the first time that Apple is training its own China-specific AI model, rather than relying solely on local partners. This aims to bring generative AI features to Chinese iPhones, where ChatGPT and Claude are unavailable, according to the report. This model will provide Apple with greater control over the AI experience in its most fiercely contested overseas market, where it has been losing traction to local competitors like Huawei. Reuters also reported that earlier this month, Apple published, then deleted, a guide showing eligible Mac users in China how to connect Alibaba's Qwen AI with Siri and Writing Tools, potentially boosting its position in China's AI PC market. Apple's strategy signifies a distinctive dual-track approach to AI implementation for a foreign company in China. This tactic could also aid Apple in circumventing the regulatory hurdles that have hindered many other U.S. tech firms in China. Moreover, it could position Apple as the first foreign company to receive Beijing's approval to offer a proprietary AI model in the country. China Gives Approval After 2 Years China requires generative AI services to undergo registration and content compliance checks before public release. Apple Intelligence's brief appearance on Chinese iPhones in March had triggered greater regulatory scrutiny, though Apple has yet to announce an official launch date. Meanwhile, in July, Alibaba also announced that Qwen3.8 Max-Preview, the most potent model in its Qwen family, is available through its Token Plan subscription service and its Qoder and QoderWork agentic platforms. The model, which boasts 2.4 trillion parameters, is considered comparable to leading frontier AI models, second only to Anthropic's Claude Fable 5. Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Photo Courtesy: FotoField on Shutterstock Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

Apple trains its own AI model for China market with Alibaba's support, sources say

Apple has trained a large language model specifically for the China market, three people familiar with the matter said, a departure from the iPhone maker's strategy of relying on third-party models to power AI features in the country. The AI model was developed in partnership with Alibaba Group and trained with the Chinese tech giant's support, the people said, declining to be named as the information is sensitive and not public. Apple's training of its own China-specific model has not been reported before. The company had previously leaned toward domestic partners' models to bring generative AI to iPhones and other devices sold in China, where U.S. models such as Anthropic's Claude and OpenAI's ChatGPT, which Apple pairs with its own technology in its home market, are not available.

Apple Teams Up With Alibaba to Bring Apple Intelligence to China | PYMNTS.com

Apple has previously used third-party models to power the AI features it offers in the iPhones and other devices it sells in China, according to the report. Now, following the collaboration with Alibaba Group, the company plans to launch its Apple Intelligence suite of AI tools in China within months, the report said. Having its own model tailored for China would give Apple greater control over the AI experience it offers in the market, per the report. The offering would also make Apple the first foreign company to secure Chinese government approval to offer a proprietary model in the country, the report said. Neither Apple nor Alibaba immediately replied to PYMNTS' request for comment. It was reported in February 2025 that a top executive from Alibaba said that his company had formed an AI partnership with Apple. Alibaba Chairman Joe Tsai said at the time that the tech firm would work with Apple to help bring AI-powered iPhones to China. "Apple has been very selective," Tsai said. "They talked to a number of companies in China, and in the end, they chose to do business with us." "They want to use our AI to power their phones, so we're very fortunate and extremely honored to be able to do business with a great company like Apple," Tsai added. It was reported in December that smartphone companies in China were promoting apps to help customers switch from Apple's iPhone and that this signaled a bid by the companies to capture market share while Apple struggled to debut AI offerings in the country's massive smartphone market. However, in March it was reported that Apple was enjoying a sales boost in China even as the country's smartphone market was seeing a downturn. The report attributed Apple's gains to eCommerce discounts, the fact that its base iPhone 17 model qualified for government subsidies and the fact that Apple's "strong control" of its supply chain left it better positioned to absorb the cost of memory chips and keep prices steady. For all PYMNTS AI coverage, subscribe to the daily AI Newsletter.

Apple's AI Race in China Heats Up with New Alibaba-Backed Move

Apple is developing and training its own large language model for the Chinese market with support from Alibaba, according to three people familiar with the matter. The move marks a shift in Apple's approach to bringing advanced software features to China, where the company has previously relied more heavily on technology from local partners. The China-focused model is being developed in partnership with Alibaba, which is helping Apple with the training process. The development came as the company prepared to introduce its suite on compatible devices in mainland China in the coming months.

Apple trains own AI model for China with Alibaba support, Reuters reports By Investing.com

Investing.com -- Apple Inc (NASDAQ:AAPL) has trained a large language model specifically for the Chinese market with support from Alibaba (HK:9988), Reuters reported on Friday, marking a shift from the iPhone maker's earlier reliance on domestic third-party AI models in China. The move could give Apple greater control over its AI offerings in China as it prepares to roll out Apple Intelligence in the country, while helping it navigate strict local regulations and growing competition from Chinese smartphone makers such as Huawei. Three people familiar with the matter told Reuters that Apple developed the China-specific model in partnership with Alibaba. Apple had previously planned to rely on models from Chinese technology companies to support Apple Intelligence in the country. Under an arrangement approved by China's Cyberspace Administration last month, Alibaba's Qwen model is expected to be incorporated into Apple Intelligence on compatible iPhones, iPads, Macs and Vision Pro devices in China. Baidu technology is also expected to be included, Reuters reported. Apple's own model would give the company a dual-track approach in China. It could combine proprietary technology with locally approved third-party systems to meet regulatory requirements while retaining greater control over the user experience. Apple Intelligence is expected to launch in China in the coming months following the regulatory approval. Apple has already begun testing aspects of the partnership, including allowing eligible Mac users in mainland China to connect Alibaba's Qwen service to Siri and Writing Tools. The AI push comes as Apple seeks to regain momentum in China, where local smartphone brands have moved more quickly to integrate AI features into their devices. The lack of Apple Intelligence on Chinese iPhones has been cited as one factor weighing on Apple's competitiveness in the market. The role Apple's self-trained model will ultimately play alongside Alibaba's Qwen and other third-party systems remains unclear, Reuters said.

Apple reportedly developing its own AI model for China with Alibaba

Apple has developed and trained an artificial intelligence model specifically designed for China, with support from Alibaba Group, Reuters reports. The move marks a break from its usual reliance on local partners' models for its AI features in the country. Apple Intelligence is expected to launch in China in the coming months, following an operating system update, the same sources said. The partnership had been confirmed in February 2025 by Joe Tsai, Alibaba's chairman. A regulatory milestone has already been cleared Having its own model would give Apple more control over the AI experience in China, where the group has been losing ground to Huawei and other local brands. The lack of AI features on Chinese iPhones has weighed on sales, as rivals already offer built-in assistants. Apple could become the first foreign company authorized by Beijing to offer its own AI model in China. China's digital regulator registered its generative AI service in July, after a lengthy regulatory process, clearing the way for the launch of Apple Intelligence in this crucial market.

Apple trains its own AI model for China market with Alibaba's support, sources say

Aug 14 (Reuters) - Apple has trained a large language model specifically for the China market, three people familiar with the matter said, a departure from the iPhone maker's strategy of relying on third-party models to power AI features in the country. The AI model was developed in partnership with Alibaba Group and trained with the Chinese tech giant's support, the people said, declining to be named as the information is sensitive and not public. Apple's training of its own China-specific model has not been reported before. The company had previously leaned towards domestic partners' models to bring generative AI to iPhones and other devices sold in China, where U.S. models such as Anthropic's Claude and OpenAI's ChatGPT, which Apple pairs with its own technology in its home market, are not available. Apple and Alibaba did not respond to requests for comment. Apple Intelligence, the company's suite of AI tools, is expected to launch in China in the coming months after an update to its iOS operating system, the people said. A China-tailored model of its own would give Apple greater control over the AI experience in its most competitive overseas market, where it has lost ground to local rivals including Huawei that have raced ahead with AI-equipped handsets. Apple's planned rollout represents a unique dual-track strategy on AI deployment for a foreign firm in China, which would allow it to navigate steep regulatory hurdles that have limited access for many other U.S. technology firms. It would also make Apple the first foreign company approved by Beijing to offer a proprietary AI model in China, marking a rare collaboration by U.S. and Chinese tech firms amid a widening trade and diplomatic rift between the two countries over AI. REGULATORY HURDLES CLEARED BUT UNCERTAINTY REMAINS The move follows a lengthy regulatory process that ended last month, when the Cyberspace Administration of China, the country's internet watchdog, registered Apple's generative AI service, clearing the way for Apple Intelligence to reach Chinese iPhones for the first time. Under that arrangement, Alibaba's Qwen model is to be incorporated into the version of Apple Intelligence that ships with compatible iPhone, iPad, Mac and Vision Pro models in China, and the service was also set to incorporate technology from Baidu, Reuters reported in July. Last week, Apple published a Chinese-language guide explaining how eligible Mac users in mainland China could connect Qwen to its Siri digital assistant and Writing Tools feature, a Mac-specific arrangement that could help it compete in China's AI PC market. Apple has since deleted the guide, without providing an explanation. Alibaba's U.S.-listed shares climbed about 4% in premarket trading on news of the July registration, underscoring investor expectations that the tie-up could reshape China's AI ecosystem. APPLE LOOKS TO AI FOR BOOST IN CHINA Apple's partnership with Alibaba was first confirmed in February 2025, when Alibaba chairman Joe Tsai, speaking at the World Governments Summit in Dubai, said Apple would use the Chinese company's AI to power its phones in China. "They talked to a number of companies in China. In the end they chose to do business with us," Tsai said at the time. The rollout was subsequently delayed as Apple worked to adapt its features to Chinese regulations. China remains critical to Apple's fortunes, accounting for a significant share of its revenue. The absence of AI features on Chinese iPhones had been cited as a factor weighing on sales as consumers gravitated toward domestic brands offering built-in AI assistants. It was not immediately clear what role Apple's self-trained model would play alongside third-party Chinese models and how those are working together. (Reporting by Reuters staff; Editing by Eduardo Baptista and Sam Holmes)