Apple Reportedly Offering $100 Million to Reverse iPhone 16 Ban in Indonesia
Apple Inc. has significantly raised its investment offer to Indonesia in a renewed effort to reverse the sales ban on its iPhone 16 model. According to sources familiar with the negotiations, Apple now proposes an investment of nearly $100 million (around Rs. 844 crore) over two years, a dramatic increase from its initial offer of approximately $10 million (Rs. 84 lakh). This move is seen as Apple’s attempt to demonstrate its commitment to the Indonesian market and to convince the government to lift the restrictions on the iPhone 16’s sale.
The initial investment plan, which focused on setting up a factory in Bandung, Indonesia, to produce accessories and components, was not enough to meet the government’s requirements. Now, with the revised offer, Apple hopes to meet the Indonesian government’s demand for greater economic engagement. The company’s expanded investment could help create more local jobs and contribute to the country’s manufacturing and technological development. Apple’s strategy involves showing that it can be a more significant player in Indonesia’s tech ecosystem, especially in areas like local production and job creation.
In response to Apple’s new proposal, Indonesia’s Ministry of Industry has indicated that it will require the company to adjust its investment focus. Specifically, the ministry is pushing for a stronger emphasis on research and development (R&D) for smartphones within the country. This change in direction is aimed at ensuring that Apple’s presence in Indonesia goes beyond manufacturing to include more value-added activities such as innovation and technology advancement.
Despite the offer, the Ministry of Industry has not yet made a final decision on whether to approve Apple’s revised investment plans. The outcome of these negotiations could have significant implications for Apple’s operations in Southeast Asia, as the company seeks to navigate local regulations and continue expanding its market presence in the region.
