The Trump administration and congressional officials scrutinize Apple-Alibaba deal
The Trump administration and congressional officials are closely examining a potential deal between Apple and Alibaba that could see Alibaba-powered AI features integrated into iPhones sold in China, as reported by The New York Times.
The New York Times, citing anonymous sources, revealed that White House officials and members of the House Select Committee on China have raised concerns with Apple executives regarding the deal. Questions have been raised about the data sharing arrangements with Alibaba and whether Apple has made any commitments to Chinese regulators. It has been reported that Apple executives were unable to provide satisfactory answers to these inquiries.
Representative Raja Krishnamoorthi, the ranking Democrat on the House Permanent Select Committee on Intelligence, expressed his concerns about the deal with Alibaba. He described Alibaba as a key player in the Chinese Communist Party’s military-civil fusion strategy and criticized Apple for lacking transparency regarding the agreement.
While Alibaba has publicly confirmed the deal, Apple has remained silent on the matter. The scrutiny over this deal adds to the challenges faced by Apple amidst escalating tensions between the United States and China, including fluctuating tariffs.
