Apple to Establish the First Independent Asia-Pacific R&D Center, An Attempt at a Comeback in China

Apple to Establish the First Independent Asia-Pacific R&D Center, An Attempt at a Comeback in China
Aug 18, 2016 By eChinacities.com

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On August 16, Apple CEO Tim Cook announced during a trip in Beijing that the company is looking to increase investment in China and promises to open up the first independently operated Asia-Pacific research and development center in the country by the end of 2016. Cook indicates that Apple seeks to join in the China “Internet+” initiative and contribute to the smart manufacturing movement in the country.

Reuters reports that the new research and development center envisioned by Apple will seek to combine the tech giant’s technical and marketing resources in China and further deepen collaborations with Chinese academic and industry partners. At present, Apple has yet to release specific details about the center such as location, number of employees and investment funds.

Cook made this announcement at a time when Apple is clearly facing a market downturn in China. Apple has traditionally eyed the Greater China Region to be the company’s next growth engine. But in the third quarter of 2016, Apple’s sales in China slid by one third—feeding to the tech giant’s concerns about its future in China.

In March of this year, Apple was forced to close its movie and e-book services due to China tightening rules on online publications. They also recently lost two intellectual property lawsuits in China while domestic contenders like Huawei and Oppo chipped away at Apple’s market share.  

But it is to be noted that distributors in China are selling iPhones at a speed that outpaced stocking by Apple, meaning that market demand in China might not have shrunk as much as it would first appear.

This year in May, Apple announced an investment of 1 billion USD in Didi Chuxing, the Uber equivalent in China. Industry insiders think that this is a gesture by the tech giant to try and woo the Chinese government.

Source: http://m.thepaper.cn/newsDetail_forward_1515282

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Keywords: Apple to open the first independent Asia-Pacific R&D center in China

4 Comments

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1

donluis
comment|72919|59010

R&D in China? Thats a wonderful idea! Why didnt someone in China think of doing this?! I'm sure now that Apple is literally giving away technology. We are very close to bringing the number of Chinese inventions in the last 200 years to 10! Maybe even 11! So impressive!!!!!

Aug 19, 2016 15:16 Report Abuse

2

Guest2368048
comment|72903|263116

Apple treads deeper into the China trap with this stupid move, that which is harmful to a colony of bees doesn't benefit one bee.

Aug 18, 2016 23:11 Report Abuse

3

Guest388182
comment|72901|43131

Apple, china's sycophant

Aug 18, 2016 19:26 Report Abuse

4

LastTargarean
comment|72896|1615815

Good idea, make it easier for them to steal your IP

Aug 18, 2016 18:48 Report Abuse