According to a foreign news agency that cited persons acquainted with the situation on Wednesday, China has prohibited officials at key government offices from using Apple’s iPhone and other foreign-branded smartphones for work or bringing them into the office.
According to the report, in recent weeks, staff members received the directives from their superiors in meetings or chat rooms at work. It was unclear how extensively the directives were being disseminated.
The iPhone restriction could cause international businesses doing business in China to express signal as Sino-US tensions rise ahead of an Apple event scheduled for next week, which would involve the introduction of a new line of iPhones.
But aside from Apple, no other phone manufacturers were included in the report.
The shares of the iPhone manufacturer fell 1.5% in early trading.
China has been trying to reduce its dependence on foreign technologies for more than a decade. To this end, it has encouraged domestic semiconductor chip manufacturing and asked state-affiliated businesses like banks to switch to local software.
Beijing intensified this push in 2020 when its leaders suggested a growth model known as “dual circulation” to decrease its dependency on foreign markets and technology as its worries about data security deepened.
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Tensions between the two countries have risen As Washington works with allies to deny China access to crucial equipment needed to maintain the competitiveness of its semiconductor sector, and Beijing bans shipments from illustrious US companies like planemaker Boeing and chip manufacturer Micron Technology.
On Wednesday, a number of observers claimed that the reported action demonstrated Beijing’s determination to minimize its reliance on American technologies and its willingness to target any American corporation.
Even Apple is vulnerable. Through its partnership with Foxconn, it assembles its goods in China, where it employs hundreds of thousands, if not more than a million workers, said D.A. Davidson analyst Tom Forte.
It is important to know that China is one of Apple’s biggest markets and generates nearly a fifth of its revenue.
