Apple will use Alibaba's generative AI to power artificial intelligence features for iPhones meant for sale in the Chinese market. Joe Tsai, Alibaba Group's Chairman, has confirmed the companies' partnership at the World Governments Summit in Dubai.

KEY TAKEAWAYS Alibaba Group Chairman Joe Tsai reportedly said that the Chinese tech giant is partnering with Apple to add its artificial intelligence features for its iPhones in China. CNBC cited Tsai as saying that Alibaba could provide Apple with a local partner to navigate China's regulatory environment.

Alibaba has scored a prized deal as it tries to carve out a lead in the highly competitive artificial intelligence race. Apple’s iPhones in China will use Alibaba Group’s AI technology, chairman Joe Tsai said. That confirmed an earlier report that sent the Hangzhou-based company’s shares briefly soaring as much as 9.2% in Hong Kong.