China's StepFun unveils the StepX Neo, claiming the first AI smartphone

Tencent-backed StepFun introduced the StepX Neo in Shanghai, billing it as the world's first agentic smartphone. The device runs Step AOS, an operating system built specifically for AI agents, launched under its StepX hardware brand as China's "AI phone" race accelerates. The competition is heating up: Alibaba and Honor are set to deepen a tie-up on an AI-device operating system, expected to be announced at the World Artificial Intelligence Conference opening in Shanghai. The moves come as Apple's legal fight with OpenAI complicates Silicon Valley's own push to reshape consumer AI hardware.

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