What you should know
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- iPhone sales in China have plunged by 24% in the first six weeks of 2024, missing analysts’ expectations by over $3 billion and causing concern among investors about sustained sales weakness.
- Despite the sales drop, Apple continues to invest in China, with Tim Cook opening a new flagship store in Shanghai, which is Apple’s 57th outlet in the country and the second-largest globally after New York City’s Fifth Avenue location.
- The new Apple store in Shanghai, situated opposite the historic Jing’an Temple, attracted a large crowd and required police to manage the hundreds of attendees.
- During his visit to China, Tim Cook engaged with local media, met with representatives from Chinese suppliers like BYD, and planned to participate in the China Development Forum to connect with leading Chinese officials.
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Full Story
In the midst of DOJ turmoil, Apple finds itself at a crossroads. Yet, they’re laser-focused on a critical goal: boosting sales in China. It’s no secret, really. The world’s largest smartphone market, affectionately dubbed China, has shown its cards. And, oh boy, the news isn’t great for the iPhone giant. Just six weeks into 2024, and sales have nosedived. We’re talking a whopping 24% drop.
This dip? It wasn’t just a minor miss. Analysts were off by over $3 billion. Yeah, you read that right. Investors are now biting their nails, fearing this slump isn’t just a fluke. It seems local heroes like Huawei and vivo are stealing the spotlight, making a comeback.
But here’s the kicker. Tim Cook isn’t throwing in the towel. Far from it. In a bold move, he recently unveiled Apple’s latest store in Shanghai. And guess what? The crowd went wild. Many had camped out overnight, just to catch a glimpse of Cook. Talk about dedication.
He made his grand entrance on Wednesday. With a flourish, he opened the doors of the new store, victory sign in tow. The early birds, who’d been there since the crack of dawn, were welcomed in. This store isn’t just any store. It’s opposite the historic Jing’an Temple, marking Apple’s 57th outlet in China. And in Shanghai alone? It’s their eighth, only second in grandeur to their flagship in New York City.
Cook wasn’t alone. Deidre O’Brien, Apple’s Senior VP of Retail and People, was by his side. Though she kept quiet, the event spoke volumes, drawing in hundreds. The turnout was so massive, the Chinese police had to step in.
During his stay, Cook didn’t just cut ribbons. He met with local media and chatted with Chinese suppliers. One notable figure was Wang Chuanfu, the big boss at BYD, a crucial cog in Apple’s supply chain. But that’s not all. Cook’s itinerary includes Beijing, where he’ll attend the China Development Forum. It’s a big deal, connecting foreign execs with top Chinese officials.
