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The American tech company Apple is going to include the AI technology of the Chinese company Alibaba in the iPhones sold in China. At the World Government Summit held in both of the United Arab Emirates, Alibaba President Joseph Tsai informed that Apple has decided to have a business partnership with them.
According to the news of TechCrunch, before talking to Alibaba, Apple had also discussed with ByteDance and Dipsic for AI features. Currently, both Apple and Alibaba have submitted the necessary documents to the local administration, according to the news.
According to Trip Mikel, a journalist who has been writing about Apple for the past decade in The New York Times, American lawmakers have expressed concern with the Trump administration about the agreement to keep the Chinese company's AI technology in the iPhone. "The American side is concerned that such an agreement will allow the Chinese company to improve its AI capabilities and expand access to Chinese chatbots with sensor skills," Mikel writes.
The Trump administration has pressured Apple to move iPhone production from China to America. US President Trump has also criticized the company's plan to manufacture iPhones in India.
Although Alibaba has confirmed the partnership with Apple, both companies have not given an official response. At a time when companies like Deepsik and Baidu are releasing their chatbots and large language models in China, this agreement is considered important for Alibaba to become a competitor. It is still important for Apple because the company hopes that it will help create a positive atmosphere when the iPhone market in China is declining.
American President Trump has warned to impose at least 25 percent customs duty on iPhones not manufactured in America. In addition, he said that 50 percent tax will be levied on all goods imported from the European Union.
Trump gave such a warning after Tim Cook, the head of Apple, announced the plan to move the iPhone manufacturing plant from China to India. "I want iPhones sold in America to be manufactured in America, I informed Tim Cook about this a long time ago," Trump said, "iPhone should be made in America, not in India or other countries."
