Alibaba stock surges following reported AI collaboration with Apple
Alibaba's stock prices have surged following reports of a partnership with Apple focusing on artificial intelligence.
TroibNews 
Apple is collaborating with Alibaba to introduce artificial intelligence features for iPhone users in China, as reported by Reuters on Tuesday, referencing a report from The Information. The companies have submitted their jointly developed AI features for approval from China's cyberspace regulator, according to the report.
On Wednesday, Alibaba's Hong Kong-listed shares increased by 8 percent to 113.3 Hong Kong dollars at closing, while Apple's stock rose by 2 percent as of the previous trading day.
Last year, Apple had chosen Baidu as its primary partner, but the Chinese company's progress in creating models for Apple Intelligence did not meet Apple's standards, the report indicated.
Following this, Apple evaluated models from Tencent, ByteDance (the parent company of TikTok), Alibaba, and Deepseek, but decided against Deepseek due to the startup's limited manpower and experience for larger clients, the report mentioned.
Both Apple and Alibaba did not respond immediately to Reuters' requests for comments.
The introduction of these tools is vital as iPhone sales fell during the holiday quarter, typically Apple's strongest sales period, attributed to a lack of AI features that were intended to be key selling points for the latest devices.
While the company has projected strong sales growth for the current quarter, there are optimistic expectations that iPhone demand will recover.
The Information's report also noted that Apple's choice to partner with Alibaba was influenced by the extensive personal data the e-commerce giant possesses regarding users' shopping and payment behaviors, which can assist in training models and providing more personalized services.
Lucas Dupont for TROIB News
On Wednesday, Alibaba's Hong Kong-listed shares increased by 8 percent to 113.3 Hong Kong dollars at closing, while Apple's stock rose by 2 percent as of the previous trading day.
Last year, Apple had chosen Baidu as its primary partner, but the Chinese company's progress in creating models for Apple Intelligence did not meet Apple's standards, the report indicated.
Following this, Apple evaluated models from Tencent, ByteDance (the parent company of TikTok), Alibaba, and Deepseek, but decided against Deepseek due to the startup's limited manpower and experience for larger clients, the report mentioned.
Both Apple and Alibaba did not respond immediately to Reuters' requests for comments.
The introduction of these tools is vital as iPhone sales fell during the holiday quarter, typically Apple's strongest sales period, attributed to a lack of AI features that were intended to be key selling points for the latest devices.
While the company has projected strong sales growth for the current quarter, there are optimistic expectations that iPhone demand will recover.
The Information's report also noted that Apple's choice to partner with Alibaba was influenced by the extensive personal data the e-commerce giant possesses regarding users' shopping and payment behaviors, which can assist in training models and providing more personalized services.
Lucas Dupont for TROIB News
