Apple must now expect the worst. Company boss Tim Cook can thank his own president and the plans of the head of state. But why is it coming to Apple now? GIGA has the information.
Update from August 13, 2020: The noose for TikTok and Co. is tightening more and more. Now a document is coming to light that further concretizes the plans of the US president – AppleInsider reports, citing Reuters. As a result, the exclusion of TikTok and WeChat (not named in the records) from the Apple and Google app stores would definitely be a consequence of the ban.
iPhone sales threaten to collapse: Apple worries
If things go really wrong, Apple could lose massive influence and sales in the so important Chinese market. This is the conclusion of the well-recognized and well-informed Apple expert Ming-Chi Kuo – the colleagues from MacRumors report. Kuo predicts a disastrous slump in sales, Apple could sell a full 25 to 30 percent fewer iPhones in the Middle Kingdom in the future, while AirPods, iPads, Apple Watch and Mac are also threatened with declines in sales, Kuo expects a minus of 15 to 25 Percent. A real disaster for the US manufacturer, but how does the Apple expert come to such a gloomy forecast?
The reason: imminent end of TikTok and WeChat
The corona pandemic is for once innocent, but Apple’s own president could really spoil the tour in China. In the current dispute over TikTok, Trump signed a momentous decree late last week. US business with the Chinese companies ByteDance (TikTok) and Tencent (WeChat) would therefore be prohibited. If Apple were forced to completely remove the two apps from the App Store, the iPhone manufacturer Kuo would have to reckon with the forecast sales slump. WeChat in particular is essential in China. If the app were to fly off the iPhone, it would be like taking WhatsApp away from our Apple cell phone in this country – simply unthinkable. Who would still want to buy an iPhone?
With or without TikTok and WeChat – these features await us in the upcoming iOS 14 on the iPhone:
But there is still a glimmer of hope. In the best case scenario, Apple would only be forced to take TikTok and WeChat from the US store, and a download from the China store would still be possible. In this scenario, the iPhone manufacturer would “only” have to reckon with 3 to 6 percent fewer iPhones on the Chinese market. Still annoying, but at least not a disaster. One can assume that Apple is aware of the scope of the current development and is diligently in communication with the White House. Perhaps the possible worst-case scenario can still be averted.