Apple shares slide after China government iPhone ban reports
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During the last 48 hours, Apple's market capitalization has experienced a decline exceeding 6%, translating to an approximate loss of $200 billion (£160 billion).
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Customers walk past a huge Apple logo at the new store which is located on two floors linked by a glass spiral staircase in Hong Kong's upscale International Financial Center Mall, Sept. 24, 2011. (AP)
Apple's shares have experienced a second consecutive day of decline in response to reports indicating that Chinese government employees have been prohibited from using iPhones.
In the past two days, the tech company's stock market value has dropped by over 6%, equivalent to nearly $200 billion (£160 billion).
China stands as Apple's third-largest market, contributing 18% of its total revenue last year. Additionally, the majority of Apple's products are manufactured by its primary supplier, Foxconn, in China.
The Wall Street Journal (WSJ) reported on Wednesday that Beijing had instructed officials in central government agencies not to bring iPhones into their offices or use them for work purposes. On the subsequent day, Bloomberg News suggested that this ban might also extend to employees of state-owned enterprises and government-affiliated organizations.
Read next: Apple tells suppliers in Taiwan to label products as 'Made in China'
According to sources cited by the WSJ, these instructions were relayed to officials by their superiors in recent weeks, and similar restrictions were placed on other foreign-branded devices. While iPhones were already prohibited in certain agencies, the reports suggest that the scope of the ban has been broadened. However, it remains unclear how widely these instructions were disseminated throughout Chinese officialdom.
These reports have emerged just ahead of the anticipated launch of the iPhone 15, scheduled for September 12th.
#Xiaomi, the leading #Chinese tech company, has registered a new patent for a smartphone technology that has been described as potentially "lifesaving." pic.twitter.com/6HAh2woqU0
— Al Mayadeen English (@MayadeenEnglish) September 20, 2021
On Chinese social media platforms, some individuals claiming to work for state-owned enterprises mentioned that they had been informed to cease using Apple devices by the end of September. One individual humorously questioned their financial capacity to purchase a new phone, pondering, "What should I use for work?"
