Apple is apparently close to ending its months-long economic dispute with the Indonesian government. There, an official ban was issued for the latest generation iPhones in October because Apple allegedly failed to meet investment commitments. This involved a relatively small amount of only 13.5 million euros, missing from a total investment of approximately 100 million euros. But the case is now much more expensive for Apple: after several rounds of negotiations, the company is agreeing to invest one billion US dollars in the form of new production lines in the world’s fourth-largest country – currently with about 275 million inhabitants. Looks ready. , among other things.
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AirTag from Indonesia
As business news agency Bloomberg reported late last week, Apple is ready to one billion dollars Investing in ending conflict. Apple initially offered $100 million, but this was not enough for the Economics Minister or the President. The country aims to strengthen local manufacturing and ensure Indonesia becomes “part of Apple’s global supply chain,” a government spokesman said in November after Apple’s first deal failed. Indonesia is not yet in a position to produce the semiconductors needed by Apple. “But if Apple needs them, the components can come from local suppliers,” a Ministry of Economic Affairs spokesman said.
After another round of high-level negotiations, the disputants are now apparently in agreement: According to informed circles, President Prabowo Subianto has given his consent to accept Apple’s billion-dollar investment. This includes not only educational programs and potential research spaces, but also actual production. One of Apple’s manufacturers, initially unnamed, will create 1,000 jobs by setting up AirTag production on the island of Batam, 45 minutes by ship from Singapore. There is a free trade zone where there are no sales and luxury taxes, and no import duties. According to Bloomberg, Apple plans to locate up to 20 percent of global AirTag production in Indonesia. An improved second edition is expected to come out next year. Bluetooth and UWB trackers are sold by the millions and are cheap for an Apple product with a street price of just over 30 euros.
Accessories and Educational Programs
Another portion of the billions of dollars of funding is to flow into another Indonesian plant, this time in Bandung, three hours from Jakarta. “Other types of accessories” will be built there. Finally, Apple will also launch training programs for coders. It initially remained unclear what other projects were planned.
Despite the Indonesian government’s internal approval of the project, Apple is said to have yet to receive any schedule as to when the iPhone 16 will be allowed to hit the market. The group has lost some sales as a result: many of the 275 million people in Indonesia are technology enthusiasts, and half the residents are under 44.
(B.Sc.)
