US Officials Question Apple’s AI Partnership Plans in China

Apple’s reported efforts to partner with Chinese tech giant Alibaba to bring its new “Apple Intelligence” features to users in China have drawn warnings from U.S. officials who worry the deal could deepen China’s technological edge over the U.S. and compromise user privacy.

The plan, which Apple sees as critical to remaining competitive in one of its most important markets, would help bring artificial intelligence capabilities to its products in China. But according to The New York Times, the proposal has sparked unease in Washington over national security, data access, and Apple’s compliance with China’s strict digital laws.

Apple Faces Pressure to Stay Competitive in China

China accounts for around 20% of Apple’s global sales, making it a critical market for the company. But operating there comes with strict regulations, especially around cloud services and artificial intelligence, which foreign firms typically must provide through partnerships with domestic companies. Any such deal would likely require Apple to comply more deeply with Chinese laws that enforce censorship and mandate user data sharing with the government. Without a local partner, Apple risks falling behind domestic smartphone makers that are rapidly rolling out their own AI features.

Apple is under increasing pressure to revive iPhone sales in China, and the rollout of its new Apple Intelligence features is central to that effort. With the iPhone 17 lineup set to launch this fall, bringing these AI capabilities to the Chinese market has become a key part of the company’s strategy to regain momentum.

Lawmakers Question Data and Rights Implications

The proposed partnership has drawn bipartisan scrutiny. Representative Raja Krishnamoorthi of Illinois, the top Democrat on the House Permanent Select Committee on Intelligence, warned of “serious concerns” about Alibaba potentially gaining access to user data or leveraging the partnership to improve its own AI models.

Krishnamoorthi also criticized Apple’s willingness to operate under Chinese digital governance. He said the company risks “turning a blind eye” to the rights of Chinese users, including issues of censorship and government access to personal data.

Alibaba’s close alignment with Chinese state interests adds to the concern. Greg Allen, who directs the Wadhwani AI Center at the Center for Strategic and International Studies, said the deal could undermine U.S. interests in what he called a global “AI race” between China and the United States. “There’s a view that American companies shouldn’t give Chinese AI firms an advantage in this emerging field,” Allen noted.

White House and Congress Seek More Information

According to the report, Apple executives have already been contacted by both the White House and members of Congress. Officials have asked whether any deal would involve Chinese companies gaining access to sensitive user information or advanced AI technologies developed by Apple.

In parallel, the U.S. government is reportedly weighing whether to add major Chinese AI firms—including Alibaba—to a trade restriction list that would block them from working with American companies.

Apple is said to be exploring partnerships beyond Alibaba as well. Tencent, DeepSeek, and Baidu are also reportedly under consideration as potential local partners to support the deployment of Apple Intelligence in China.

What This Means

Apple’s pursuit of an AI partnership in China reflects a broader tension facing global tech companies: how to expand in critical international markets without compromising on data privacy, user rights, or geopolitical interests.

For Apple, China isn’t just another market—it’s a core pillar of its business. But as artificial intelligence becomes a defining feature of smartphones and software platforms, the company must navigate a regulatory environment where foreign firms are required to localize operations, often under conditions that contradict U.S. values on privacy and freedom of expression.

U.S. officials see partnerships with companies like Alibaba as more than a business arrangement. They view them as potential channels for advancing China’s domestic AI capabilities, possibly at the expense of American technological leadership. There’s also concern that such deals could erode global norms around responsible data use if Apple is seen to accommodate state censorship or surveillance.

How Apple responds may set a precedent for how other U.S. companies handle AI rollouts in countries with restrictive digital policies. The outcome could influence not only Apple’s standing in China, but also future debates about tech governance, digital sovereignty, and the limits of corporate neutrality in global conflicts.

This is about more than one company’s product launch—it’s a window into the complex choices tech giants face as AI becomes both a competitive edge and a political flashpoint.

Editor’s Note: This article was created by Alicia Shapiro, CMO of AiNews.com, with writing, image, and idea-generation support from ChatGPT, an AI assistant. However, the final perspective and editorial choices are solely Alicia Shapiro’s. Special thanks to ChatGPT for assistance with research and editorial support in crafting this article.