According to reports from The Wall Street Journal and China’s Science and Technology Innovation Board Daily, Apple is reportedly in talks with Chinese internet giant Baidu to incorporate Baidu’s chatbot, ERNIE Bot, into the upcoming iPhone 16 and Mac computers sold in China.
Apple is said to be integrating a locally developed AI chatbot into its iOS 18, iPhone 16, and macOS operating systems. Sources familiar with the matter revealed that Apple had also explored partnerships with Alibaba and another Chinese AI model company but ultimately chose Baidu. However, iPhones and other products sold outside of China will continue to feature Apple’s proprietary language model.
The decision is believed to be a response to regulatory requirements imposed by the Chinese government. While still speculative, analysts from 9to5mac suggest that Apple’s move is highly likely as the company seeks to accelerate its progress by incorporating a Chinese AI model. Additionally, Chinese authorities require AI services to obtain approval before being launched, and ERNIE Bot is among the more than 40 AI models approved for market release in China.
Apple’s approach aligns with a similar strategy employed by Samsung, which utilizes Google’s Gemini chatbot and AI models (e.g., image generation feature Imagen) for its recently released Galaxy S24 worldwide but employs ERNIE Bot within China.
Apple’s move aims to revitalize its iPhone business in China. While the US government continues to impose restrictions on Huawei, and Beijing gradually shifts away from using Intel and AMD chips in public information devices, Apple CEO Tim Cook visited China last week, meeting with local suppliers and engaging in undisclosed activities.
Following the media reports in China, Baidu’s stock price rose by over 6% in Hong Kong, while Alibaba experienced a decline of more than 1%. Both Baidu and Apple have refrained from commenting on the matter.
In fact, not only in China but also on a global scale, Apple recognizes the need to leverage AI capabilities to sustain iPhone sales momentum. Currently, Apple lags behind OpenAI and Google in terms of AI models and AI services. Bloomberg reported last week that Apple may consider incorporating Google’s Gemini or OpenAI’s ChatGPT into the iPhone 16.