Apple has just trained its own AI model for China with the help of Alibaba. Nothing official yet, but the timing doesn’t lie. While Cupertino courts Beijing on AI, Washington is pressing Tim Cook’s company to repatriate its production. Two fronts, one giant.
In brief
- Apple has trained a model tailored for China, associated with Alibaba’s Qwen and Baidu technology.
- Apple would become the first foreign company authorized to operate a proprietary AI model in China.
- Apple faces criticism after fake Bitcoin app siphoned off crypto users’ funds.
AI: Apple and Alibaba, the deal that changes the game for China
An AI model tailor-made in Apple devices intended for China is the real novelty here. Until now, Apple has relied on third-party models to equip its Chinese iPhones with artificial intelligence. This choice belongs to the past. The new model will be associated with Qwen, Alibaba’s AI, and Baidu technology, all integrated into the version of Apple Intelligence which will equip iPhone, iPad, Mac and Vision Pro on the Chinese market.
Regulation, for a long time an insurmountable wall, has just given way. In July, the Cyberspace Administration of China registered Apple’s generative AI service. As a result, Apple would become the first foreign company authorized to operate its own proprietary AI model in China. A notable exception, in a climate where ChatGPT and Claude remain closed doors.
Apple: the assumed duplicity of a giant under pressure
Thousands of miles from China, Tim Cook cuts the ribbon on Apple’s new Advanced Manufacturing Center in Houston, United States, in the presence of Commerce Secretary Howard Lutnick. The latter will be used in particular for the production of the Mac mini starting this year. The White House has praised Apple’s $600 billion commitment to the US economy. Two stories, one company. On the one hand, Apple is attracting praise from Washington for its domestic investment.
On the other, it discreetly negotiates a strategic access to the Chinese market through AIin a sector that the two countries treat precisely as an issue of sovereignty. Especially since the American government recently ordered Apple to stop purchasing memory chips made in China. But Apple doesn’t have the luxury of choosing a side. With nearly $5 trillion in valuation to defend, and two markets it can’t afford to lose… Having it both ways may not be a choice. It’s a constraint.
A Bitcoin scandal that damages the image of the App Store
While Apple is taking care of its image on the AI side, another issue is quietly festering on its own turf: the App Store. A complaint filed in late July 2026 accuses Apple of letting a fake Bitcoin app siphon funds from its users. The app impersonated Sparrow Wallet, a famous Bitcoin wallet, which does not even exist on iOS. Three victims are said to have lost around $1.8 million after entering their recovery phrase in the fraudulent app.
The painful detail is that the application would have remained active after a first report of loss, before the second victim was affected. The irony is hard to miss because a company that negotiates access to a market of more than a billion users through a sophisticated AI partnership is simultaneously struggling to filter a fake Bitcoin application on its own store. The technological rigor displayed on one side therefore does not seem to permeate every corner of the house.
The AI agreement with Alibaba marks a real turning point for Apple in China. But this success coexists with growing commercial tensions and quality control that could be improved on its own App Store. On AI, Apple is moving quickly. On the other hand, on consistency, it still has some way to go.
Maximize your Tremplin.io experience with our ‘Read to Earn’ program! For every article you read, earn points and access exclusive rewards. Sign up now and start earning benefits.
