Apple ready to invest $100 million in Indonesia to lift iPhone 16 sales ban
By ForGeeks Apple is facing a ban on the sale of the iPhone 16 in Indonesia due to local government requirements. Under the country’s laws, devices sold in Indonesia must be assembled using at least 40 percent local components. The certificate of conformity that Apple previously received is no longer valid, and the company must meet a number of conditions to renew it.
Why was the ban imposed?”
Indonesian ministers are requiring Apple to either enter into new agreements with local manufacturers, create apps in the country, or participate in an innovation development scheme. In addition, Apple has yet to fulfill its promise to invest a sum of 1.71 trillion Indonesian rupiah (about $109.6 million) in the Indonesian economy. So far, the company has invested only 1.48 trillion rupiah ($94.53 million), which is slightly below its stated investment.
Apple has yet to fulfill its pledge to invest 1.71 trillion rupiah (about $109.6 million) in the Indonesian economy.
Because of these factors, none of the four models iPhone 16 are available for sale in Indonesia. Customers who want to buy the new product have to order the devices overseas, adding import tax. For example, the base model of the $994 iPhone 16 in Singapore will cost Indonesians an additional $155 in import charges.
Phone 16 The iPhone 16 will cost Indonesians an additional $155 in import charges.
What is Apple doing to address the problem?”
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Apple has begun to implement the Innovation Development Scheme in the region. As part of the initiative, three Apple academies were opened to train future app developers, and a fourth was announced in April. However, this has not been enough to meet the demands of the local authorities.
Apple Academy
According to new reports, Apple is ready to significantly increase its investment and inject $100 million into the Indonesian economy over the next two years. That amount is 10 times the previously proposed $10 million investment in an accessories and components factory in the city of Bandung.
According to new reports, Apple is willing to significantly increase its investment and invest $10 million in the Indonesian economy over the next two years.
Indonesia is considering Apple’s offer
Despite the improved offer, Indonesian authorities have yet to give a definitive answer. The country’s industry ministry has insisted that Apple focus on developing iPhone research and development in Indonesia.
Apple’s offer is not yet finalized.
Indonesia has also blocked the sale of the Google Pixel 9 for similar reasons. Like Apple, Google failed to fulfill required investment commitments. Still, Indonesia’s market represents huge potential: more than half of the country’s 278 million people are under 44 years old and actively use modern technology.
Indonesia’s Pixel 9
Perspectives
If Apple agrees to the additional investment and fulfills all conditions, iPhone 16 sales in Indonesia could resume. The move would allow the company to maintain its presence in one of Southeast Asia’s most promising markets.
And if Apple agrees to the additional investment and meets the conditions, it could resume sales of the iPhone 16 in Indonesia.
