Apple is dealing with a new measure, which has caused the company to lose $190 billion in two days. This is what’s going on.
Chinese government bans iPhone
The Chinese government has introduced a new measure against Apple, banning officials from using an iPhone. Chinese government employees are no longer allowed to have an iPhone as a work phone, but must use a Chinese brand phone. And that’s not all: Chinese officials are even banned from taking an iPhone to the office.
Also read: New AirDrop feature from China comes to everyone with iOS 16.2
With this measure, the Chinese government wants to become less dependent on Apple and American technology in general. This is in line with China’s policy of banning foreign technology from government agencies. In this way, the government tries to reduce the risk of espionage. The new measure has not gone unnoticed, because Apple has suddenly become much less valuable.
Apple is worth less on the market by measure
Due to the Chinese measure, Apple lost no less than 190 billion dollars on the stock market in just a few days. Converted to approximately 178 billion euros, this is a huge amount. That is not surprising, because China is an important market for Apple. It seems that the ban on iPhones among civil servants is just the beginning, as the Chinese government plans to introduce even stricter rules.
It is reportedly also prohibited for companies that work for the Chinese government to use an iPhone. Employees who work for these companies must therefore also switch to another telephone brand. It is not yet known when this new measure will come into effect, but it is clear that Apple will have a much more difficult time in China.
iPhone 15 will have a limited release
The new measure will have even more consequences for Apple next week, because the release of the iPhone 15 will be limited in China. A major carrier in the country, China Mobile, has already announced that it will not release an iPhone 15. This is the result of the new rules, of which it is still unclear how far the Chinese government ultimately wants to go. China Mobile is therefore not selling the new iPhone at all.
Also read: Moral or commercial: what does Apple choose in the China controversy?
Fortunately, this does not mean that Apple is in big trouble, because last month the company actually became much more valuable on the stock exchange. This weekend’s loss puts Apple back at the same level as a month ago. In any case, it is certain that Apple will suffer from the new Chinese measure, the real consequences of which we will only know after some time.
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