Apple Intelligence gets regulatory green light in China, partners with Alibaba and Baidu for AI rollout

Published Jul 19, 02:00 PM UTC

Apple has received approval from China's cyberspace regulator to launch its Apple Intelligence AI features in the country, partnering with Alibaba (BABA) to integrate the Qwen large language model and with Baidu for localized AI capabilities. This regulatory green light removes a major obstacle for Apple in the world's largest smartphone market, where competition from domestic rivals like Huawei and Xiaomi has intensified. The approval is expected to strengthen the iPhone upgrade cycle and improve Apple's competitive position. Apple stock (AAPL) rose 4% on the news, reaching a new high of $328.73. The company also reported strong fiscal Q2 2026 results, with record March-quarter revenue of $111.2 billion, iPhone revenue up 22% YoY, and services revenue hitting an all-time high of $31 billion. The stock trades at 36.01 times forward earnings, above its historical average.