BABA Stock Just Shot Up Pre-Market – What's The Apple Connection?

• According to the report, the Cyberspace Administration of China added Apple’s generative AI services to a list of newly approved providers on Wednesday.
• The report said Qwen AI will be available across iOS, iPadOS and macOS for users in China.
• The latest approval clears a major roadblock for the U.S. tech giant, which has been seeking clearance for Apple Intelligence from Beijing since its official rollout in 2024.

U.S.-listed shares of Alibaba (BABA) surged in Wednesday’s pre-market following a Bloomberg report that Apple Inc. (AAPL) has been cleared to integrate Qwen AI with Apple Intelligence in China, paving the way for the iPhone maker to begin offering AI services in the biggest smartphone market in collaboration with the Chinese company’s technology.

At the time of writing, BABA stock was up more than 5% premarket and among the top ten trending tickers on Stocktwits.

According to the report, the Cyberspace Administration of China on Wednesday added Apple’s generative AI services to a list of newly approved providers, which also included offerings from local giants like Huawei Technologies and Xiaomi.

China Approval Benefits BABA And AAPL

The latest approval clears a major roadblock for the U.S. tech giant, which has been seeking clearance for Apple Intelligence from Beijing since its official rollout in 2024, while also benefiting Alibaba, whose technology will power the AI experience across Apple’s products, which are very popular in China.

A spokesperson for Alibaba told Bloomberg that Qwen AI will be available across iOS, iPadOS and macOS for users in China, enabling text and image recognition and generation.

What Do Retail Traders Think About BABA And AAPL

On Stocktwits, retail sentiment towards both stocks was in ‘neutral’ territory. One user on the platform said Apple made a smart move by localizing in China, while Alibaba would get a big distribution win with a successful rollout.

BABA is down 23% so far this year, while AAPL is up 16%.

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