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Chinese Smartphone Makers Surge on AI features Amid Apple challenge

As a strategic counter step against the Apple Intelligence expected in the near future, Chinese smartphone manufacturers are going on a binge of AI features. Apple Intelligence reportedly will be released next week but won’t go on sale in mainland China and the European Union, according to reports. This is also in light of recently falling out of the top five smartphone vendors in China, according to Canalys research.

Huawei has debuted an upgraded version of its proprietary operating system, HarmonyOS, with proprietary AI capabilities that aim to enhance the user experience. These functionalities include text translation, note-taking, and photo editing capabilities, thus effectively doing away with the need to rely on the Google Android system. This shift was necessitated by U.S. sanctions that barred Huawei from accessing Google’s services, prompting the company to develop HarmonyOS independently since its initial launch in 2019.

In a similar vein, Honor—a spinoff from Huawei focusing on premium devices—introduced the latest iteration of its Android-based Magic operating system. During a recent demonstration, Honor showcased an AI assistant capable of executing vague voice commands, such as placing an order for coffee with minimal user intervention. This AI can also manage document identification and facilitate social media calls without requiring user engagement with the device. Honor collaborates with Chinese tech giants like Baidu for certain AI functionalities while partnering with Google for devices marketed abroad.

The new AI features will debut on Honor’s upcoming Magic 7 smartphone, set to be launched on October 30, and the company plans to extend these capabilities across its product line by early next year. The Magic 7 will leverage Qualcomm’s newly introduced Snapdragon Elite 8 chip, a detail that was highlighted during a recent Qualcomm event.

Market analysts note that these advancements in AI are likely to entice consumers to consider switching brands, particularly as Honor and Huawei have also entered the foldable smartphone segment—a category where Apple has yet to establish a presence. Greater China only makes up 17% of the group’s revenue, down from 19% last year, according to figures Apple published on Monday.

As competition is becoming more intense, Apple’s CEO Tim Cook reportedly met China’s Minister of Industry and Information Technology to talk over related matters about data security and cloud services as the firm has marked continuing commitment to China amid changing dynamics.