Apple has mostly stayed out of the expensive race to develop advanced AI technology, but it may not be able to avoid that competition in China.
According to a Reuters report, Apple has created its own AI model for the Chinese market with help from local partner Alibaba Group. The report says Apple’s Apple Intelligence suite should launch in China in the next few months. Apple did not respond right away to a request for comment.
This move shows Apple is confident it could be the first Western company to get approval to launch its own AI model in China. It also shows Apple is concerned that not having its own AI could let local competitors like Huawei Technologies get ahead in the Chinese smartphone market.
This development brings up a bigger question for investors: Will Apple need to do the same thing in the U.S. and other markets? Up to now, Apple has mostly used AI models from outside partners like Google for its most advanced AI features, while using smaller in-house models for tasks that run directly on its devices.
This strategy has received some positive attention because it lets Apple avoid the big spending seen at other AI-focused companies. So far, AI features have not been a major reason for consumers to upgrade their devices.
Apple’s stock price fell a little in morning trading.
