China could slam door on Apple, says top global risk expert

“Apple may find itself eventually shut out of China, a leading expert on global political risk to corporations said Monday,” Matthew J. Belvedere reports for CNBC. “‘It’s very possible,”‘ Ian Bremmer, founder and president of the Eurasia Group, told CNBC’s Squawk Box, a day before the tech giant was scheduled to release quarterly earnings. ‘I’d be very surprised in five years’ time if we see Apple having the kind of access to the Chinese consumer that they presently enjoy,’ he said.”

“‘I think people misunderstand the nature of the Chinese tech involvement,’ Bremmer said, citing the closures in China earlier this month of Apple’s iBooks Store and iTunes Movies, just about six months after they were launched,” Belvedere reports. “Bremmer said Apple’s overall privacy strategy could further trip up the company in China. ‘We’re [Apple] going to create it so nobody can have access to your data. It’s just in the cloud. That’s antithetical to everywhere the Chinese want to go,’ he said. ‘Either Apple has to change their model, which I don’t think they’re going to do. Or they’re going to have a big problem gaining access to the Chinese consumer.'”

Read more in the full article here.

MacDailyNews Take: Baseless speculation.

China has a lot more to lose than they have to gain by “slamming the door on Apple.”

SEE ALSO:
China’s increasing censorship hits Apple, but Apple might punch back – April 22, 2016
China shutters Apple’s online book and movie services – April 22, 2016
Apple CEO Tim Cook joins Robert F. Kennedy Human Rights’ board of directors – April 6, 2016

30 Comments

  1. As someone who lives in Vancouver Canada allow me to make a couple of observations.
    First, although most of us are not well informed about Chinese internal politics it seems at first glance that Apple is getting more heartburn from the US government than it is from the Chinese government.Perhaps they have better hackers than the US government that has to hire hackers from Israel to get a look at old iPhones .
    The second observation where I live we have lots of “visitors” from China that stay here for a long time and they seem to love very expensive toys- huge houses and ridiculously expensive cars come to mind- and always paid up front in cash
    I think a lot of these folks are well how can I put this politely rather well connected with the Chinese government and they would probably not like having their iPhones removed. If that happens they will just buy them here and come to think of it every time a new iPhone comes out my local Apple store seems to be full of people who don’t speak English trying to buy 10 iPhones at a time
    It is sad to say but globalization is here to stay and how can I put this politely other than to say apologizing is a national fetish in Canada -but I think the bigger threat to Apple is actually Donald Trump than whomever is pulling the strings in China
    Sorry to our American cousins- we are your biggest trading partner, your premier provider of foreign energy , your oldest true friends and allies in just wars , but this is really one time when you need to look inwards

  2. A lot depends on how soon and how much local companies can start to make a world wide impact along with expanding their home market. It could happen and in that case the Chinese might see it as a fair trade off, but unlikely to be short term as they are still far too reliant on their business.

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