Apple’s Tim Cook to Visit China: Underscores China’s Clout
Rina S. | | May 07, 2016 08:37 AM EDT |
(Photo : Reuters) Tim Cook is set to visit China as Apple continues to grapple with several issues in the country.
Apple's CEO Tim Cook is reported to be planning a visit to China later this month to meet high-level officials. Apple has been struggling with quite a few roadblocks in China including the ban on its iBooks and iTunes Movies service. Cook's visit to the country underscores the importance of the Chinese market to Apple.
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According to Reuters, the Apple CEO is likely to meet Communist Party leaders and senior government officials during his visit. He is also expected to meet officials in charge of propaganda. China has made its policies for online content stringent. During a recent clampdown, Chinese authorities ordered Apple to shut down its iTunes Movies and iBooks services.
Apple has been facing issues on the copyright front as well. In past couple of days, the company faced another blow when it lost its trademark infringement battle over the use of word 'IPHONE' to a Chinese leather goods manufacturing company. Billionaire investor Carl Icahn has allegedly sold his entire stake in Apple, owing to China's woes.
China is a beacon of hope for Apple, thanks to its burgeoning middle class, which is a potential market for the tech giant. Apple is currently battling with plateauing sales of its flagship products including iPhone. In a bid to ramp up the sales, the company is courting emerging markets such as China and India. China is currently the second-biggest market for Apple, after the United States.
Despite its strained relationship with China, the company is positive about its growth in the country. In an interview with CNBC, Cook stated, "I could not be more optimistic about China. I think the long-term thesis is intact."
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