Xiao-I (AIXI) Stock Soars 515% After China Supreme Court Denies Apple’s Patent Challenge

TLDR

• On Monday, AIXI experienced a record-breaking surge of 515%.
• The Supreme People’s Court of China denied Apple’s attempt to invalidate the AI patents held by Xiao-I.
• Dated March 27, 2026, this final and binding ruling leaves no room for further appeals regarding patent validity.
• During Tuesday’s premarket trading, the stock rose by an additional 40%, approaching the $1.00 threshold.
• Last week, Xiao-I was issued two non-compliance notices from Nasdaq for failing to maintain a minimum bid price of $1.00 for 30 straight business days.

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(SeaPRwire) –   Xiao-I Corp. is currently enjoying its most significant week on the stock market. Following a massive 515% increase on Monday, AIXI gained another 40% during Tuesday’s premarket session, bringing the stock within pennies of the $1.00 price level not seen since November 2025.

Xiao-I Corporation, AIXI

The catalyst? A court decision that ruled decisively in favor of Xiao-I.

Apple’s request to have Xiao-I’s core AI patents declared invalid was turned down by China’s Supreme People’s Court. This decision, marked March 27, 2026, is both final and binding, leaving Apple with no remaining options to contest the patents’ validity.

These patents are central to a continuing lawsuit regarding infringement. Xiao-I alleges that Apple utilized its AI technology—encompassing natural language processing, voice recognition, and machine learning—without authorization.

Having already navigated several legal phases, including a 2024 hearing at the Shanghai High People’s Court, the case saw Apple’s appeal to the Supreme Court serve as its final defense regarding validity—a defense that ultimately failed.

On April 1, 2026, Xiao-I submitted a Form 6-K to reveal the ruling. This disclosure seems to have expanded investor awareness and triggered the explosive trading session seen on Monday.

It is important to note that this ruling on patent validity does not determine damages. The infringement lawsuit remains active, and Xiao-I has warned investors that financial compensation or a favorable final resolution is not assured.

Factors Behind the Significant Price Increase

Limited liquidity is playing a major role in this movement. As a small-cap stock without coverage from Wall Street analysts, even slight buying interest can lead to disproportionate price fluctuations.

Combined with momentum trading and probable short covering, this results in the kind of dramatic shift that catches traders’ attention. For months, the stock had been struggling, trading significantly under $1.00 since the start of November 2025.

Nasdaq Compliance Challenges

Prior to these recent events, Xiao-I revealed last week that it had been served with two non-compliance notices from Nasdaq’s Listing Qualifications Department.

The notices indicated that AIXI’s American Depositary Shares closed below the minimum bid price of $1.00 for 30 consecutive business days, spanning from November 3 to December 15, 2025.

Maintaining a price above $1.00 is more than just a psychological barrier; it is a requirement for compliance. Regaining and sustaining this level is now essential for Xiao-I to keep its listing on Nasdaq.

During Tuesday’s premarket trading, AIXI was valued at roughly $0.96, falling just four cents short of the required threshold.

Since the beginning of the year, the stock has nearly doubled in value. The legal action against Apple regarding infringement persists, with no established schedule for a final decision on damages.