Apple in Talks to Integrate Tencent, ByteDance AI in China

Apple is reportedly in discussions with Tencent and ByteDance to integrate their artificial intelligence (AI) models into iPhones sold in China.

This initiative aims to enhance Siri’s capabilities and other AI features on Apple devices within the country. The talks are in the early stages, and both companies have not publicly commented on the matter.

This move comes as Apple faces declining market share in China, partly due to the absence of AI features in its latest iPhones. Domestic competitors, such as Huawei, have introduced AI-powered devices, the Mate 70 series, which was launched last month, gaining significant traction among Chinese consumers.

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If successful, a partnership in China could give a significant boost to Apple’s AI services in the increasingly competitive market, where numerous tech firms and startups have launched large language models, including ByteDance’s Doubao, Tencent’s Hunyuan, and Baidu’s Ernie.

Apple has reportedly also been in talks with Baidu about using its AI model in China, but these discussions have reportedly faced setbacks due to technical issues, such as disputes over using iPhone user data to train AI models. Baidu has not yet responded to requests for comment.

Apple briefly fell out of China’s top five smartphone vendors in the second quarter but regained its position in the third quarter.