Apple’s potential partnership with China’s Alibaba to integrate AI features into iPhones has drawn sharp criticism in Washington, with members of Congress and national security experts worried the deal would strengthen China’s position in the artificial intelligence (AI) race and put user data at risk.
Image source: hdhai.com
When Apple unveiled its new Apple Intelligence ecosystem, it simultaneously struck a deal with OpenAI to integrate ChatGPT into it. However, OpenAI can’t operate in China, as local regulations restrict foreign AI companies. So Apple began looking for a local partner, considering companies like Baidu, DeepSeek, and Tencent. Ultimately, it chose Alibaba, whose open AI model is growing rapidly. Apple hasn’t publicly acknowledged the partnership with Alibaba yet, but as 9to5Mac notes, citing The New York Times, the deal has already been made.
The White House and the House China Committee have already begun to probe the details of the collaboration. Officials have directly approached Apple executives to demand clarification, expressing particular concern about the potential transfer of user data or assistance in training Chinese AI algorithms.
Congressman Raja Krishnamoorthi called the partnership “extremely troubling,” comparing it to the story of TikTok, which the U.S. tried to ban. “We don’t want American companies helping Chinese companies accelerate in the AI race,” said Greg Allen of the Center for Strategic and International Studies.
It is noted that the US administration is currently discussing the possibility of adding Alibaba and other Chinese companies whose activities are related to artificial intelligence to a restrictive list prohibiting cooperation with American businesses. The Pentagon and intelligence agencies are also studying Alibaba’s possible ties to the Chinese military.
As a result, Chinese iPhones may be left without AI functions at all. And this will hit Apple’s smartphone sales in the country even harder, which have been declining for about six months, including because iPhones do not offer the AI functions that Chinese and other Android smartphones have.