Story perspectives

China Clears Apple Intelligence, Alibaba Shares Jump 5%

7/17/2026

Summary

Apple Secures AI

China’s Cyberspace Administration approved Apple Intelligence, clearing the generative-AI service for use in China.
Apple will embed Alibaba’s Qwen model in Apple Intelligence on iPhone 15 and newer devices.
Apple will also rely on Baidu’s AI infrastructure to power Apple Intelligence features on Chinese iPhones.
Alibaba’s Hong Kong shares rose nearly 5% after the regulator’s clearances.

Summary

Apple Sales Surge

Apple’s Greater China sales hit $20.5 billion in Q2, a 28 % year-over-year rise.
The iPhone maker reclaimed the No. 2 spot in China’s smartphone market after a shopping-festival promotion cut iPhone prices.
Analysts say Apple’s AI collaborations with DeepSeek, ByteDance, Alibaba and Baidu could help sustain its sales momentum amid competition.
Apple Intelligence features remained unavailable in China until regulator approval, delaying the globally launched service.

History

Historical Context

Apple’s 2024 clearance to run Alibaba’s Qwen and Baidu AI on iPhone 15 follows a decade of data-localisation compliance in China. After the Ministry approved iCloud migration to Guizhou in February 2018, Apple invested $1 billion in a Guizhou-Cloud data centre and moved more than 100 million accounts there. The precedent shows regulatory approval can quickly unlock Chinese revenue growth.

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Apple Secures AI

China’s Cyberspace Administration approved Apple Intelligence, clearing the generative-AI service for use in China.
Apple will embed Alibaba’s Qwen model in Apple Intelligence on iPhone 15 and newer devices.
Apple will also rely on Baidu’s AI infrastructure to power Apple Intelligence features on Chinese iPhones.
Alibaba’s Hong Kong shares rose nearly 5% after the regulator’s clearances.

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