Business

Apple Partners with Alibaba Over DeepSeek for AI Development in China, Signaling Strategic Compliance

Apple Inc. Chooses Alibaba for AI Features in China

In a strategic move to enhance its artificial intelligence (AI) capabilities in China, Apple Inc. has decided to collaborate with Alibaba Group Holding Ltd., bypassing DeepSeek. This decision, as reported by The Information on Tuesday, underscores Apple's commitment to aligning with Chinese regulations and boosting its sales in the region.

Why Alibaba?

Apple's choice of Alibaba over other tech giants like Baidu, Tencent, ByteDance, and DeepSeek was influenced by Alibaba's extensive consumer data, especially in e-commerce and payment habits. DeepSeek, despite its advanced AI models, was reportedly not chosen due to insufficient resources to support a large-scale customer like Apple.

Strategic Compliance and Market Expansion

This partnership not only highlights Apple's effort to comply with local AI model development regulations but also reflects its strategy to counteract declining sales in China. By leveraging Alibaba's vast data and market presence, Apple aims to strengthen its position in the competitive Chinese market.