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 Group Chairman Joe Tsai confirmed the company is partnering with Apple to help it roll out AI for iPhones sold in China.

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.