Apple shares fall after China expands iPhone ban to more government offices and agencies

midian182

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What just happened? China is following Russia's lead in banning iPhones from certain government offices. According to a new report, the country plans to expand the ban on Apple devices beyond sensitive departments to government-backed agencies and state companies. The Cupertino giant's shares were down 9% on the back of the news.

Yesterday, the Wall Street Journal reported that Beijing had ordered officials at central government agencies not to use iPhones or other foreign-branded devices for work or bring them into the office. The decision is part of the country's move away from its reliance on foreign tech and to enhance its cybersecurity.

Today, Bloomberg writes that the orders are being expanded to state-owned enterprises and other government-controlled organizations. It's unclear how many companies or agencies will adopt the restrictions as there has been no formal or written injunction. It's also likely that the firms and organizations will vary in how strictly they enforce the bans.

While many Western companies struggle in the country, China is a massive market for Apple. CEO Tim Cook praised the firm's relationship with China as "symbiotic" in March and called sales in the country a "highlight" of the most recent quarter. But it appears that the closeness counts for nothing when it comes to Beijing pushing out foreign products in favor of its own tech.

Russia has also banned the use of Apple products by government employees for official business purposes over concerns that the US could be using them for spying purposes.

China's ban comes years after the US heavily sanctioned Huawei and other Chinese firms. Additionally, many US government employees are forbidden from installing TikTok on their work devices, and a recent poll suggested that 50% of people want a nationwide ban on the app.

The US has also been hammering China's chip industry with restrictions on the export of advanced chip-making tools to the country. The latest category to be hit with limitations is advanced AI-focused GPUs from the likes of Nvidia, adding to the Chinese resentment.

Despite all the restrictions and sanctions, Huawei recently released the Mate 60 Pro, a 5G smartphone that uses SMIC's 7nm tech. According to Chinese media, more than 90% of the device comes from local suppliers. It's been alleged that SMIC violated US sanctions in selling the Huawei Kirin 9000s processor to Huawei.

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It couldn't happen to a more deserving company. Live by the sword, die by the sword...
This is actually because it is difficult for the CCP to spy on people using Apple devices. So, yeah, good but it's for a bad reason
 
"Apple shares fall after China expands iPhone ban to more government offices and agencies"

It is a lot easier to put down US corporate hegemony than the US government hegemony...!
 
This is actually because it is difficult for the CCP to spy on people using Apple devices. So, yeah, good but it's for a bad reason

Do you really think that the CCP can't spy on Apple phones and this is the number one reason ??

You still make more money selling zero day full chain with persistence with Android than Apple - think it's been that way for years

No - My BS unproven statement is - Apple phones are a huge security risk - As China knows the Five eyes - can easy access into them - That Apple secretly supplies info to the NSA all the time ( oh no they don't - oh yes they do ) .

Yes I will concur Apple do a good job of keeping low tech seniors in USA safe - but a hardened Android phone will a smart user - will be magnitudes safer

How many celebrities have had their phone IDs stolen now ????
People then complaining super hard to get their Apple ID back - and prove they are the real ID

 
I have to wonder if Chinese govt. workers represent 9% of worldwide Apple consumers. And how many of them were planning to buy new phones prior to this announcement?

Don't mind me, I'm just pretending the stock market is rational.
 
They've also banned Tesla vehicles from cities and highways because they claim they are concerned about the cars spying on them.
 
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