Apple stock climbed to a 52-week high of $328.72 on July 15 after China’s cyberspace regulator approved the rollout of Apple Intelligence in the country, clearing a major roadblock for the iPhone maker to introduce its AI features in the world’s largest smartphone market.
The approval, which came after Apple spent nearly a year co-developing the features with Alibaba and Baidu, represents a critical win for the company’s China strategy. To comply with local regulations, Apple will integrate Alibaba’s Qwen AI model and Baidu’s technology into Apple Intelligence for Chinese users across iOS, iPadOS, macOS, and visionOS.
The absence of Apple Intelligence on iPhones in China had threatened to stall upgrade cycles at a time when Apple faced stiff competition from local rivals such as Huawei, Xiaomi, and Oppo, which had rapidly rolled out AI features on their devices. In the second quarter, iPhone shipments in China jumped 24% from a year earlier, cementing Apple’s spot as the country’s number two smartphone seller behind Huawei, according to research firm IDC.
Morgan Stanley analyst Erik Woodring said bringing Apple Intelligence and improved Siri features to China could help Apple catch up with local smartphone rivals in AI capabilities. He called the move a major boost that could strengthen Apple’s long-term position in the Chinese market.
Wall Street responded positively to the approval. Evercore ISI reiterated an Outperform rating and set a $365 price target on Apple stock, while the shares traded near the 52-week high as investor sentiment improved. On Stocktwits, retail sentiment around the stock shifted to ‘bullish’ territory from ‘neutral’ the previous day.
Sources
- Wall Street Journal — China’s approval of Apple Intelligence, iPhone shipment growth in China, and Alibaba/Baidu partnership details
- Yahoo Finance — Apple stock hit record high of $328.72, analyst commentary from Morgan Stanley
- Intellectia AI — Apple stock reached 52-week high following China approval
- Investing.com — Evercore ISI analyst rating and price target of $365
- StockStory — Apple stock jumped 4.2% following China approval
