No iPhone 17 Air & No AI, Apple’s 2025 Event May Fall Flat for Chinese Consumers

TradingKey - On the eve of Apple’s annual event, key anticipated features have hit roadblocks: the long-awaited, completely redesigned ultra-thin iPhone 17 Air may be excluded from the Chinese market due to hardware incompatibility, and Apple Intelligence, Apple’s AI functionality, is expected to be delayed again for mainland China.

Apple’s 2025 launch event, themed “Awe dropping,” will be held on September 9, unveiling the next-generation iPhone, Apple Watch, and other smart devices. The iPhone 17 Air, potentially the thinnest iPhone ever made, has become the focal point of attention.

JPMorgan believes the main highlights of this year’s event will be the appeal of the ultra-thin iPhone 17 Air to consumers and how iPhone pricing — especially in China — will boost Apple’s overall sales.

However, well-known tech journalist Mark Gurman poured cold water on the iPhone 17 Air’s prospects. He said the device may not be suitable for most customers — echoing the reception of Apple’s first Air product about 20 years ago.

Gurman highlighted the awkwardness of Apple’s “Air” strategy: despite slimmer bezels and a large display, the device suffers from drawbacks like a single rear camera and shorter battery life.

Due to the extreme thinness required (rumored to be as thin as 5.5mm at its thinnest point), the iPhone 17 Air would need to eliminate the physical SIM card slot and rely solely on eSIM. However, major Chinese carriers have suspended eSIM services for years.

On X, Gurman predicted:

“One other issue with the iPhone 17 Air is that eSIM only will make it hard to sell in mainland China. I wouldn’t be surprised if the release is limited or staggered there until Apple and the carriers figure that out.”

Beyond hardware incompatibility, software limitations may continue to push Chinese consumers to bypass mainland iPhones and purchase overseas models. Apple Intelligence is already available in countries like Canada and the UK, but not in mainland China.

Gurman reported that Apple is still working to bring Apple Intelligence to China. In addition to exploring AI partnerships with Google, OpenAI, and Anthropic, Apple is also engaging with Alibaba and Baidu to roll out AI features tailored for the Chinese market.

Gurman believes Apple will once again delay the AI feature’s launch in China, possibly rolling it out via iOS 26.1 or iOS 26.2 by the end of the year.

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