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Apple plans on utilizing Baidu's AI for iPhone 16 series in China, while Google's Gemini will be used in other areas
Apple may either employ its own AI algorithms or rent them from Google for the anticipated AI capabilities of the iPhone 16 Pro and iPhone 16 Pro Max. In China, rumors indicate that Apple is likely to opt for Baidu's AI algorithms for all gadgets in that area.
A report by China Star Market, a Chinese media source, reveals that Apple has chosen Baidu, a leading Chinese search engine, to supply generative AI technology for its soon-to-be-released iPhone 16 and other devices in China this year.
The study indicates that Apple plans to integrate Baidu's Ernie Bot into its iPhone 16, Mac OS, and iOS 18, specifically targeting the mainland China market. This move comes after conversations with numerous Chinese companies such as Alibaba Group Holding and an AI firm associated with Tsinghua University.
Apple plans to maintain its in-house AI model everywhere except China, where it has chosen to utilize local technology due to compliance requirements. There has also been speculation that Apple might involve Google by integrating their Gemini AI bot into Baidu. Following this announcement, Baidu's stock increased by up to 6% in Hong Kong, ending the day at 100 Hong Kong dollars.
The news of this advancement comes after 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 this visit, Cook reiterated Apple's dedication to the Chinese market and interacted with important Chinese suppliers.
At a notable conference arranged by the Chinese authorities, Cook praised the substantial input of Chinese vendors in achieving Apple's targets for carbon neutrality. Moreover, Cook disclosed Apple's intentions to introduce its Vision Pro mixed-reality headset to the domestic market later this year, emphasizing the company's dedication to the Chinese market.
Apple is currently dealing with heightened competition in China, as indicated by a 24% drop in iPhone sales year-on-year in the opening six weeks of 2024, according to data from Counterpoint Research. The growth of local competitors like Huawei, Oppo, Vivo, and Xiaomi is a significant factor in this decrease in iPhone sales.
Apple and Baidu may be considering a partnership, even as Baidu works with Samsung Electronics to incorporate its Ernie large language model into Samsung's most recent 5G devices. However, AI service providers in China are facing increased regulation, as authorities put forth new rules to make sure AI-created content adheres to approved content standards. In August of last year, China introduced specific rules for local generative AI services, positioning itself as a leader in the regulation of this budding technology.
(Incorporating information from various sources)
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