Apple doubles down on China R&D amid iPhone sales slowdown،
- Apple expands its research and development operations in China
- A new Shenzhen lab will focus on testing and research on key products including iPhone, iPad and VisionPro helmet
- This expansion follows a significant decline in iPhone sales in mainland China
As iPhone sales face a slowdown in the world's largest smartphone market, China, Apple is expanding its applied research operations in the country. Facing fierce competition from Huawei and other major domestic smartphone makers, Apple is doubling its research efforts to stay ahead of the game. In a statement provided to South China Morning Post (via MacRumors), Apple has revealed plans to strengthen its research center in Shanghai, with a focus on supporting all of its product lines.
Additionally, the tech giant plans to open a new laboratory in Shenzhen by the second half of 2024. This new facility will be dedicated to testing and research, focusing on key products such as the iPhone , the iPad and the Vision Pro headset.
The company highlighted that the upcoming facility in Shenzhen will strengthen its collaboration with local suppliers and provide support to local employees. Apple Vice President and General Manager for Greater China Isabel Ge Mahe expressed pride in fostering stronger ties in China and expanding the company's presence there. She noticed :
We have already invested 1 billion yuan ($139.2 million) in [the existing] applied research laboratory in China.
This strategic shift follows a 24% drop in iPhone sales in mainland China during the first six weeks of 2024. Apple has faced formidable competition from a resurgent Huawei at the high end, coupled with price pressures in the mid-range from the Chinese. smartphone heavyweights such as Oppo, Vivo and Xiaomi.
Recently, the Cupertino tech giant took action in response to weak sales and intensifying competition from Huawei by offering discounts on the iPhone 15 lineup in China.
