Patrick McGee, an FT business reporter and author of 'Apple in China,' shares his insights into Apple's complex relationship with China. He discusses the intricate partnership with Foxconn and how it shaped the tech landscape. The conversation highlights challenges posed by US-China trade tensions and the rise of competitors like Huawei. McGee also dives into Apple's internal struggles and future outlook, revealing the impact of automation and labor activism on their operations. Gain a fresh perspective on how these dynamics shape the future of technology.
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insights INSIGHT
Apple-Foxconn's Tacit Knowledge Transfer
Apple’s partnership with Foxconn was key to China’s industrial rise but also transferred tacit knowledge that helped Chinese suppliers grow.
The intense training and collaboration with Apple accelerated China’s technological capabilities far beyond simple manufacturing.
insights INSIGHT
Apple’s Deep Investment as Training
Apple’s investments and technical training in China are enormous, classified as registered capital due to training costs.
This level of investment is closer to automotive companies than retailers, showing deep engagement beyond just procurement.
insights INSIGHT
Apple’s Supplier Diversification Squeeze
Apple insists suppliers diversify customers to avoid dependence, inadvertently boosting Chinese competitors.
This policy accelerates tech transfer by forcing suppliers to grow with other Chinese brands like Huawei and Xiaomi.
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This biography, based on more than 40 interviews with Steve Jobs and over 100 interviews with family members, friends, adversaries, competitors, and colleagues, provides a riveting story of Jobs' roller-coaster life and intense personality. It highlights his passion for perfection, his ferocious drive, and how he revolutionized six industries: personal computers, animated movies, music, phones, tablet computing, and digital publishing. The book explores Jobs' contradictions, his 'reality distortion field,' and the lessons about innovation, character, leadership, and values that can be drawn from his life and career.
Patrick McGee is a longtime FT business reporter with extensive experience reporting on China. He is the author of the highly acclaimed Apple in China: the capture of the world's greatest company. Steve and Patrick discuss the history of Apple and its impact on technology development in China.
“The best book about Apple ever written, one of the best books about China ever written, and one of the best books about tech, period.” —Ben Thompson, Stratechery.
(00:00) - Introduction to Patrick McGee and his Book
(03:05) - The Apple-Foxconn Partnership
(07:07) - China's Industrial Transformation and Apple's Role
(32:48) - Automation Challenges in Apple's Production
(34:50) - Chinese Innovation and Huawei's Rise
(36:15) - The Impact of US-China Trade Tensions
(38:08) - Apple's Internal Struggles and Future Outlook
(48:56) - Hidden gems in the book
Music used with permission from Blade Runner Blues Livestream improvisation by State Azure.
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Steve Hsu is Professor of Theoretical Physics and of Computational Mathematics, Science, and Engineering at Michigan State University. Previously, he was Senior Vice President for Research and Innovation at MSU and Director of the Institute of Theoretical Science at the University of Oregon. Hsu is a startup founder (SuperFocus.ai, SafeWeb, Genomic Prediction, Othram) and advisor to venture capital and other investment firms. He was educated at Caltech and Berkeley, was a Harvard Junior Fellow, and has held faculty positions at Yale, the University of Oregon, and MSU. Please send any questions or suggestions to manifold1podcast@gmail.com or Steve on X @hsu_steve.
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