China has recently expanded its ban on the use of iPhones and other imported devices by government officials. According to the Wall Street Journal, individuals familiar with the matter have revealed that state employees were informed through chat groups and meetings not to bring foreign-branded devices into the office or use them for work purposes. The aim of this ban is to reduce reliance on foreign technology and enhance cybersecurity measures.
Interestingly, this is not the first time that Beijing has blacklisted Apple and other foreign products for government departments. A similar ban was implemented in 2019 as part of a three-year plan to phase out western gear and switch to local alternatives. The objective was to ensure that data remains within China’s borders and that technology is “secure” and “controllable” in line with the 2017 China Internet Security Law.
Despite the ban, Apple has managed to maintain its position in China due to its compliance with local laws and its collaboration with Chinese suppliers like Foxconn. Furthermore, Apple has actively removed thousands of illegal apps, including virtual private networks (VPNs), to align with Chinese regulations. Nevertheless, Apple remains more vulnerable than other companies due to its heavy dependence on manufacturing in China, and the country accounts for approximately 19 percent of its total revenue.
Following the US ban on Huawei and other Chinese companies, China retaliated by imposing a similar embargo on chip-maker Micron. In a surprising turn of events, Huawei recently launched the Mate 60 Pro smartphone, featuring advanced 7-nanometer chips that were found to be even more advanced than anticipated. China has also unveiled a $40 billion fund to strengthen its chip industry amid continued trade sanctions with the US.
Tesla, another US company, is also susceptible to changes in China’s policies. In the first quarter of 2023, China reportedly accounted for a significant portion of Tesla’s sales, and it is the only foreign automaker to have gained market share in the country during the first half of the year. Furthermore, China has recently restricted the usage of Tesla vehicles by military personnel and employees of state-owned companies.
Despite these challenges, Apple is preparing to release the iPhone 15 in less than a week. Reports suggest that the new device will feature thinner bezels, a titanium frame, and USB-C charging, among other enhancements. Apple has yet to respond to the expanded ban, but Engadget has reached out to the company for comment.
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