Apple shares hit record after China approves AI rollout

Apple ↗ 3.53% shares surged more than 4% on Wednesday to close at a record high after the company received long-awaited regulatory approval to launch its Apple Intelligence generative AI features in China, one of the world's largest smartphone markets.

The Approval

China's Cyberspace Administration on Wednesday registered Apple's on-device generative AI service for use on iPhones in the country, Reuters reported. Bloomberg News first reported that Apple was included on a list of newly approved providers alongside local companies like Huawei and Xiaomi.bloomberg+1

Alibaba ↘ 1.68% confirmed that its Qwen large language model will power Apple Intelligence across iOS, iPadOS, macOS, and visionOS for Chinese users, enabling text and image recognition and generation. The integration allows users to access Qwen's capabilities from within Apple's own interface rather than through a separate application.qz+1

No launch date has been announced, though approval typically precedes a rollout by only a few months, potentially aligning with Apple's usual fall software release cycle.macrumors

Market Reaction

Apple shares closed at $327.50, up 4.01% on the day, according to CNBC data. The move marked a new all-time high for the stock and made Apple the top-performing component of the Dow Jones Industrial Average on Wednesday.cnbc

The stock had already been on a strong run in 2026, with Bank of America holding a $380 price target and Melius Research targeting $385, both citing expectations for an AI-powered product cycle.cmelitegroup

A Two-Year Wait

The approval ends a lengthy process for Apple in China. The company had been working to secure clearance since Apple Intelligence was first announced, and Chinese regulators require all companies offering large language models or generative AI services to obtain approval before public release. Apple briefly switched on the features for some Chinese users back in March, months ahead of receiving formal authorization, and a feedback form aimed at Chinese users appeared on Apple's website late last year.timesofai+2

China remains one of Apple's most important markets and a critical battleground against domestic rivals. The ability to offer AI features that local competitors already provide could help Apple maintain its position in the country's fiercely competitive smartphone landscape.mercurynews