Recently China has expanded its ban on the use of iPhones and other foreign-branded devices by government officials, according to a report by The Wall Street Journal.
The move has been initiated in sensitive departments to government-backed agencies and state companies, instructing staff not to bring their iPhones to work.
Apart from this, Beijing intends to extend that restriction far more broadly to a plethora of state-owned enterprises and other government-controlled organizations.
If the Chinese authority goes ahead with this, the unprecedented blockade will be the culmination of a yearslong effort to root out foreign technology used in sensitive environments, resulting in Beijing’s effort to reduce its reliance on American software and circuitry.
Also, it threatens to erode Apple’s position in a market that yields about a fifth of its revenue. From China only, Apple makes the majority of the world’s iPhones through sprawling factories that employ millions of Chinese, added the report compiled by Bloomberg.
However, it is unclear how many companies or agencies could eventually adopt restrictions on personal devices, as there has been no formal or written injunction as yet.
As per the report by Bloomberg, a few firms forbid Apple devices from the workplace while others could bar employees from using them entirely.
Citing Apple’s relationship with Beijing and its importance to the economy, KeyBanc Capital Markets analyst Brandon Nispel said in a report Wednesday that it has historically been viewed as relatively safe in China from government restrictions.
Earlier in 2022, Chinese authorities ordered central government agencies and state-backed corporations to replace foreign-branded personal computers with domestic alternatives within two years. This was done to mark one of the most aggressive efforts to eradicate key overseas technology from within its most sensitive organs.
Reports say Beijing stepped up a campaign in recent years to reduce reliance on technology from the US, especially in sensitive agencies.
Meanwhile, Joe Biden Administration has sought to limit exports of cutting-edge semiconductor equipment to China.
With agency inputs.
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Updated: 07 Sep 2023, 03:58 PM IST