If Apple tries to deploy its own artificial intelligence system in China, it will have to go through a “long and complex process” to obtain approval for it, local authorities said, as reported by the Financial Times. It will be easier for the company to negotiate with local developers, they noted.
Image source: apple.com
The day before, Apple CEO Tim Cook arrived in China – this is his third visit to the country this year. The company now has to navigate the complexities of the regulatory regime in China and ensure the presence of the Apple Intelligence suite of features on devices sold in the local market – something it has been negotiating with local developers in recent months. In the US, Apple began rolling out these features in October.
The manufacturer was considering launching its own language models in China, but local authorities said that foreign companies would have to go through a long and complex verification process to obtain permission to do so, so partnerships with local developers seemed to be the best option. If foreign manufacturers decide to implement Chinese developers’ already-tested large language models, they will instead face a “simple and straightforward approval process,” said a senior official at the Cyberspace Administration of China.
Apple has high hopes for AI functions and expects that they will contribute to the growth of device sales – the Apple Intelligence package is not supported by gadgets of previous generations. Beijing’s campaign to reduce iPhone use among government employees, as well as tensions between China and the United States, have contributed to the decline in sales of Apple products in China. Another factor was the success of the local Huawei, which also introduced its own generative AI systems into its products.
In the US, Apple Intelligence functions run locally on devices and on Apple cloud servers, using OpenAI resources to process particularly complex queries. If the company cannot use its own large language models in China, it will have to enlist the help of local partners. The American company has already discussed partnerships with the Chinese Baidu, ByteDance and Moonshot.
China is Apple’s most important market outside the United States; it generated 17% of the company’s revenue in the fiscal year that ended in September, but sales in the country were down 8% compared to the previous year. If the company enters into a partnership agreement, Apple Intelligence will likely appear on devices in China only in the second half of 2025, analysts say.
During a visit to Beijing last month, Cook told local media that the company was “working hard” to debut Apple Intelligence in China. “There is a very specific regulatory process behind this, and we need to complete it,” he said. “We also hope to introduce it to Chinese consumers as soon as possible.”