On Point | Podcast

Did Apple empower China?

4 snips
Jul 30, 2025
Patrick McGee, Financial Times reporter and author of 'Apple in China', dives deep into the transformative role Apple has played in shaping China’s economy. He reveals how Tim Cook's pivotal decisions during Consumer Day 2013 redefined Apple’s operational model. The discussion also highlights Apple's strategic focus on innovation within China, raising questions about labor practices and economic policies. Furthermore, McGee uncovers the staggering $70 billion revenue Apple generates in China and explores the implications of this financial footprint on U.S. manufacturing.
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ANECDOTE

Apple's 2013 China Crisis

  • In 2013, Apple was publicly criticized in China for warranty policy differences shortly after Xi Jinping came to power.
  • This exposure led to what Patrick McGee calls Apple's political awakening, prompting them to deepen local engagement.
INSIGHT

Apple's Shift to China Manufacturing

  • Apple initially made its own computers in the US before outsourcing manufacturing globally, with China becoming central in the early 2000s.
  • This shift was crucial for Apple's survival against competitors who outsourced earlier and extensively.
INSIGHT

Tim Cook's Vision for China

  • Tim Cook saw in China an opportunity to combine skilled tooling engineers with massive, cheap labor.
  • This enabled Apple to innovate product manufacturing at scales and designs unmatched elsewhere.
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