Apple CEO Tim Cook met with EU tech chief Henna Virkkunen to resolve tensions over regulatory hurdles blocking the launch of its Siri AI upgrade. The talks, described as “constructive,” aim to reconcile the $4.25tn company’s plans with the bloc’s Digital Markets Act (DMA), which mandates interoperability for rival apps. Apple argues the rules hinder competition, while the EU insists on compliance to ensure a level playing field. The dispute risks delaying the voice assistant’s rollout to EU markets, with fines looming if Apple refuses to adapt its AI to meet legal standards.

The Siri AI overhaul, designed to rival ChatGPT and Claude, transforms the assistant into a chatbot capable of accessing personal data. However, the EU demands Apple grant third-party AI developers equal access to device data, a requirement Apple deems impractical. A proposed technical workaround, dubbed the “Trusted System Agent,” would let rivals tap into user data without full control. The EU, however, views this as a bid to delay compliance, calling it a “regulatory holiday” that stifles competition. Apple’s refusal to proceed without guarantees has stalled the launch, drawing criticism from European consumers and officials.

The conflict underscores the EU’s broader effort to rein in Big Tech through the DMA, which has already imposed hefty fines on firms like Google. With the US administration weighing tariffs on foreign regulators, the standoff highlights global friction over digital rules. For Apple, the stakes are high: its AI ambitions hinge on navigating Brussels’ demands. A resolution remains elusive, but both sides acknowledge the need to avoid a prolonged legal battle. The outcome could set precedents for how AI innovation coexists with regulatory oversight in the EU.