Despite being the top-selling smartphone brand in China in 2023, Apple has started to worry about its future in the country. Huawei, backed by the support of the Chinese government, continues to pose a threat to Apple with its aggressive sales policies. Here are the details…
Where is the Apple-China relationship headed?
The relationship between Apple and the Chinese government is known to be quite turbulent. Relations strained especially during Donald Trump’s presidency in the United States but had shown signs of improvement with the Biden administration. However, it seems that this situation will not continue. If the R&D investments in chip production, made under special order from the Chinese government, yield results sooner than expected, iPhones could lose their technological superiority.
Despite unexpectedly offering discounts in China, which contradict its own sales principles, Apple experienced a 13% decrease in iPhone sales. Technology authorities see Huawei’s emergence, especially with the Mate 60 Pro model, as the main reason for this.
This situation has also made Apple’s management uneasy. The company’s successful CEO, Tim Cook, visited China twice in 2023. We will see the results of these visits in the future. It is rumored that Apple is considering measures such as setting a more competitive pricing policy and supporting local manufacturers.
Chinese technology companies may take advantage of Apple’s decline in the country by further increasing their investments to produce 5-nanometer chips. If this happens, Chinese phone manufacturers could gain a significant competitive advantage.
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