Apple Rejects DeepSeek AI, Eyes Alibaba for China AI Partnership

Apple Rejects DeepSeek AI, Explores Alibaba for China AI Partnership
Apple’s Search for a Local AI Partner
Apple has been actively seeking a Chinese company to collaborate with on artificial intelligence models for Apple Intelligence on iPhones sold in China. Given China’s strict regulations on foreign AI models, Apple must partner with a domestic company to comply with local laws. According to The Information, Apple rejects DeepSeek, a rapidly growing AI company, as a potential partner.
Why DeepSeek Was Considered (and Why Apple Rejected It)
DeepSeek has gained attention for developing advanced AI models that are both cost-efficient and highly capable. The company has made significant strides in large language models (LLMs) and generative AI, positioning itself as a strong contender in the industry. Despite these advancements, Apple ultimately decided against working with DeepSeek.
A key reason for this decision lies in the regulatory challenges surrounding DeepSeek. U.S. and international governments have imposed restrictions on certain Chinese AI firms, citing privacy and security concerns. These restrictions apply to government and enterprise devices, which raised concerns for Apple about potential risks in partnering with DeepSeek. Since Apple is highly cautious about regulatory compliance and data privacy, it opted to explore other AI firms instead.
Apple’s Initial Choice: Baidu instead of DeepSeek
Before considering DeepSeek, Apple was in discussions with Baidu, one of China’s largest technology companies, known for its AI research and search engine capabilities. The initial plan was to integrate Baidu’s AI models into Apple’s China-based devices to enhance features like Siri and on-device intelligence. However, Apple ultimately decided that Baidu’s AI technology did not meet its performance and efficiency standards. This led the company to expand its search for a better alternative.
Evaluating Other AI Companies
After rejecting both Baidu and DeepSeek, Apple turned its attention to other major Chinese tech giants, including Alibaba, Tencent, and ByteDance. Among these, Alibaba appears to be the leading candidate for a partnership. The two companies have reportedly made progress in negotiations, and Apple has already submitted a batch of co-developed AI features for approval by China’s cyberspace regulators.
Alibaba’s AI division, particularly its cloud computing arm, has been investing heavily in generative AI and large-scale language models. Its capabilities in handling localized AI applications make it a strong fit for Apple’s requirements in China. However, the final decision hinges on regulatory approval and the success of their ongoing collaboration.
Apple Intelligence and Expanding Language Support
Apple has announced that its AI initiative, Apple Intelligence, will soon support additional languages, including Chinese. A software update expected in April will introduce these enhancements, making Apple’s AI more accessible to global users. However, unless Apple secures regulatory approval in China, this new AI functionality may only be available in markets outside of China.
The Road Ahead
With ongoing regulatory discussions and AI model evaluations, Apple is navigating a complex landscape to bring AI advancements to its Chinese customers. The partnership with Alibaba, if finalized, could be a strategic move to ensure compliance while delivering cutting-edge AI features in China. However, it remains to be seen how Apple’s AI strategy will evolve amid regulatory hurdles and market dynamics.