Xiao-I Appeals Shanghai Rulings in Apple Patent Case

The Shanghai High People's Court issued first-instance judgments on June 10, 2026 in two parallel cases brought by Xiao-I Corporation's (NASDAQ: AIXI) VIE, Shanghai Xiao-I, against Apple Inc. The court dismissed all claims that Apple's Siri infringed the invention patent titled "A Chat Robot System" (Patent No. 200410053749.9, filed 2004), and ruled specified iPhone models with Siri fall outside the patent's protection scope. The court also rejected Apple's RMB 2 million litigation-expense claim. Xiao-I expressed disappointment and intends to appeal to China's Supreme People's Court. The patent's validity was separately upheld as final by the Supreme People's Court on March 31, 2026.
What happened
The Shanghai High People's Court issued first-instance judgments on June 10, 2026 in two parallel cases. In the Invention Patent Infringement action (Case No. (2020) Hu Zhi Min Chu No. 7), the court dismissed all claims by Shanghai Xiao-I Intelligent Network Technology Co., Ltd. alleging that Apple's Siri infringed the invention patent titled "A Chat Robot System" (Patent No. 200410053749.9, filed 2004). In the companion Confirmation of non-patent-infringement action (Case No. (2022) Hu Zhi Min Chu No. 3), the court ruled that specified iPhone models equipped with Siri do not fall within the patent's protection scope. The court also rejected Apple's RMB 2 million claim for litigation expenses covering attorney fees, translation fees, and notarization fees. According to Xiao-I's press release, the company "respectfully disagrees" with the factual and legal findings and "believes substantial grounds exist for appeal," with formal appeals to the Supreme People's Court planned within the statutory time limit. Xiao-I cautioned investors that "there is no guarantee that the Company will be awarded any financial compensation or obtain a favorable ruling on appeal."
Patent validity vs. infringement
A prior proceeding already settled the validity question separately. On March 31, 2026, China's Supreme People's Court issued a final, binding second-instance ruling upholding the patent's validity and rejecting Apple's bid to have it declared invalid - a non-appealable outcome per Xiao-I's SEC filings. The current cases address a distinct legal question: whether Apple's Siri products fall within the patent's claim scope. A court can find a patent valid yet conclude a specific product does not infringe it based on claim construction - which is what occurred here at the first-instance level.
What to watch
The appeal to the Supreme People's Court will turn on claim construction - how broadly or narrowly the court interprets the 2004 patent's claims relative to Siri's actual implementation. Xiao-I (AIXI) had a market cap of approximately .3 million as of June 2026 and its stock fell roughly 8% on this news. Any Supreme People's Court ruling could set precedent for how Chinese courts treat early conversational-AI patents against modern products.
Scoring Rationale
Xiao-I (AIXI, ~.3M market cap) is a small company, and this covers a procedural first-instance loss in years-long litigation over a 2004 patent with coverage deriving entirely from the company's own press release. Modest relevance for practitioners following Chinese AI patent law, but not a frontier AI or infrastructure story.
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