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Apple plans to incorporate Baidu's AI in iPhone 16 series in China, while Google's Gemini will be utilized in other areas
Apple is expected to either develop its own AI models or borrow them from Google for the forthcoming AI capabilities of the iPhone 16 Pro and the iPhone 16 Pro Max. In China, there is speculation that Apple will adopt Baidu’s AI models for all devices in that location.
A news article from China Star Market, a Chinese media platform, indicates that Apple has chosen Baidu, a leading Chinese search engine, to supply generative AI technology for the forthcoming iPhone 16 and other Apple products set to release in China this year.
The report indicates that Apple plans to integrate Baidu's Ernie Bot into its iPhone 16, Mac OS, and iOS 18, specifically targeting the Chinese market. This development comes after conversations with several Chinese corporations, including Alibaba Group Holding, and an AI firm associated with Tsinghua University.
Apple plans to keep using its proprietary AI system outside of China, but will switch to domestic technology within China due to regulatory requirements. There are also whispers that Apple might involve Google in incorporating their Gemini AI bot into Baidu's shares, which increased by as much as 6% in Hong Kong following the announcement, ending the day at 100 Hong Kong dollars.
The Wall Street Journal reported preliminary discussions between Apple and Baidu last Friday, indicating a possible partnership between the two technology powerhouses. The choice to integrate Baidu's AI technology into Apple's products in China aligns with Apple CEO Tim Cook's latest trip to China. During his visit, he reassured Apple's dedication to the Chinese market and interacted with significant Chinese suppliers.
At a prominent meeting organized by the Chinese authorities, Cook praised the substantial role Chinese suppliers have played in achieving Apple's carbon-neutral targets. Moreover, Cook revealed Apple's intention to introduce its Vision Pro mixed-reality headset in the domestic market towards the end of the year, emphasizing the company's dedication to the Chinese market.
Apple is experiencing heightened rivalry in China, as iPhone sales have dropped 24% annually in the initial six weeks of 2024, as stated by Counterpoint Research. The surge in competition from local competitors like Huawei, Oppo, Vivo, and Xiaomi has played a part in this reduction of iPhone sales.
Apple and Baidu may be teaming up, in the midst of Baidu's ongoing project with Samsung Electronics to incorporate its Ernie large language model into Samsung's newest 5G gadgets. However, Chinese AI service providers are facing increased regulatory oversight, as authorities introduce new rules to enforce adherence to approved standards for AI-created content. In August of the previous year, China introduced extensive rules for local generative AI services, making the nation a leader in the regulation of this developing technology.
(Incorporating information from various sources)
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