Apple marked its first admission of interest in the automotive industry, by investing $1 billion in Chinese ride-sharing service Didi. Apple is trying to reinvigorate sales in China, where it has come under greater pressure from regulators.

The move aligns Apple with Uber Technologies's chief rival in China, as automakers and technology companies forge new alliances and make cross investments.

"We are making the investment for a number of strategic reasons, including a chance to learn more about certain segments of the China market," said Apple CEO Tim Cook. "Of course, we believe it will deliver a strong return for our invested capital over time as well."

Didi Chuxing dominates the ride-sharing market in China. The company said it completes more than 11 million rides a day, with more than 87 percent of the market for private car-hailing in China.

The deal offers a glimpse of how Apple may diversify its business as sales of the iPhone level off. Apple has already emphasized its revenue from services such as Apple Music and mobile payment Apple Pay.