Apple is in takeover talks with Chinese software maker Handseeing, an executive of the Chinese company said today.

The deal would be the iPhone maker's first major acquisition in the country.

An announcement on the deal was expected within the next two months, Tian Bo, vice-president for operations at the company told Reuters, but declined to give further details on the deal.

Apple has nearly $46 billion (£29 billion) in cash, the biggest cash board among US technology companies and roughly equivalent to about a fifth of its total market capitalization.