Alibaba has secured a major deal with Apple to improve AI features for iPhones in China.
Before choosing Alibaba, Apple had explored AI partnerships with Baidu, ByteDance and Tencent.
The ‘partnership’ is expected to help Apple overcome fierce competition from Huawei and Vivo and the problems of low sales of their products.
However, Apple is reportedly still working with Baidu on AI integration in iPhones in China.
However, it is still unclear how Alibaba’s AI will be incorporated into Apple’s iPhones, especially since Apple currently uses ChatGPT outside of China.
Alibaba shares in Hong Kong jumped more than 9% before closing up 2.6%.
Alibaba further strengthened its position in AI after its model Qwen 2.5 outperformed DeepSeek-V3.
