The Cyberspace Administration of China (CAC) delayed the approval of Apple's and Alibaba's applications for new AI-based products, the Financial Times reported on Wednesday, citing sources with knowledge of the matter.
According to the report, China's internet regulator's decision to stall the approval process is linked to increasingly strained trade relations with the United States. The rollout of Apple's newer iPhones using novel AI features has stalled globally, exerting pressure on the company's stock amid growing competition from rivals.
Previously, China accused the US of violating the Geneva trade consensus, pointing to Washington's decision to impose chip and semiconductor export restrictions as an example of its hostile actions against China's national interests.
