Apple’s China dilemma: Geopolitical strains and Huawei’s surge threaten tech giant’s dominance
In the volatile landscape of US-China relations, Apple Inc. faces mounting challenges as geopolitical tensions threaten its once-thriving presence in China. Despite generating a staggering $73 billion in 2023, recent restrictions banning Apple phones in state-run offices, coupled with the rise of formidable Chinese smartphone competitors like Huawei, pose a serious threat. Apple's CEO, Tim Cook, navigates a delicate balance, seeking to diversify its supply chain and maintain goodwill while treading carefully amid escalating hostilities. The tech giant's future in China hangs in the balance.
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Is 2024 the Year US-China Tensions Finally Trip Up Apple?
By Max Chafkin
No American tech company has bet as heavily as Apple Inc. on the economic interdependence of China and the US. Apple needs Chinese workers to make its iPhones and Chinese consumers to buy them. This would seem to make the deteriorating relationship between the two global superpowers uniquely dangerous for the company and its chief executive officer, Tim Cook, who was responsible for Apple's decision to outsource production to China long before he took over the top position from Steve Jobs in 2011.
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