Shares in Apple have experienced a second consecutive day of decline, following reports that the Chinese government has prohibited its workers from using iPhones. This development has resulted in a decrease in Apple’s stock market valuation by over 6%, equivalent to nearly $200 billion (£160 billion), over the past two days.

Headline: Chinese Government Bans iPhone Usage, Apple Stocks Plummet

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Apple's Significance in the Chinese Market:

China represents the tech giant’s third-largest market, contributing 18% of its total revenue in the previous year. Furthermore, the majority of Apple’s products are manufactured by its principal supplier, Foxconn, within China.

Government Directive on iPhone Usage:

Initial reports from The Wall Street Journal (WSJ) indicated that the Beijing government had issued directives to central government agency officials, instructing them not to bring iPhones into their offices or use them for work purposes.

Potential Wider Ban:

Subsequently, Bloomberg News reported that this ban might also be extended to employees of state-owned companies and government-affiliated agencies.

Sources Confirming the Ban:

According to sources cited by the WSJ, these instructions were communicated to officials by their superiors in recent weeks, with restrictions also imposed on other foreign-branded devices. While some agencies had previously banned iPhones, these reports suggest that the scope of the ban has expanded.

Scope and Dissemination of the Ban:

It remains unclear how widely these instructions have been disseminated throughout the Chinese government apparatus. These developments come just ahead of the expected launch of the iPhone 15 on September 12.

Impact on State-Owned Company Employees:

On Chinese social media platforms, some individuals claiming to work for state-owned companies have stated that they were instructed to cease using Apple devices by the end of September.

Conclusion:

These recent events highlight the challenges Apple faces in maintaining its position in one of its most critical markets and the potential ramifications for the tech industry as a whole.