Apple's AI cooperation in China: Is there a threat of US political intervention?

Apple has finally found a partner in Alibaba that will enable the iPhone manufacturer to bring its Apple Intelligence to China. Now the government in Apple's home country, the USA, of all places, could prevent the cooperation. This is because there is great concern that the deal could help China in its efforts to develop better AI models.

When Apple presented its AI function package Apple Intelligence in June 2024, some questions remained unanswered: What about the European Union, which is keeping a particularly close eye on Apple as a result of its digital laws? And what about the important market in China, where Apple has been able to generate significant growth over the years? In both cases, there was initially no launch date for Apple Intelligence.

Apple needs a local partner

While Apple was finally able to help itself in Europe and launch the AI functions, the Chinese government expected Apple to bring a local partner on board. This partner was apparently sought for months until a suitable partner was found in the large corporation Alibaba, with whom they wanted to get started. Finding a partner was an important milestone for Apple, as the company is currently under particular pressure in view of the growing Chinese competition, the great user demand for AI in China and the influence of the Chinese government there. With a fifth of global sales revenue, China is also very important for Apple.

In the USA, however, there are fears among politicians that China's AI influence could increase worldwide if Apple joins forces with Alibaba. Chinese chatbots with censorship restrictions could open the door and increase China's influence on Apple, reports the New York Times, citing unnamed sources.

Many questions remain unanswered

According to the report, Apple has not yet been able to answer questions about the agreement and data sharing to the satisfaction of the White House. There have already been several meetings with the company's lobbyists and executives. The Apple deal is also highly regarded in the US government because AI is increasingly considered a potential military instrument. For example, AI could control fleets of drones and coordinate attacks. Considering the tensions between China and the USA, the government therefore wants to prevent China from improving its capabilities in this area.

The criticism of Apple's cooperation with Alibaba crosses party lines. The US government is reportedly already discussing putting Alibaba on a list of companies with which US companies are no longer allowed to work. This would destroy Apple's plan. Apple has not officially confirmed the cooperation to date. It was made public by Alibaba. There is also no launch date for Apple Intelligence in China as yet.

(mki)