The Indonesian government expects Apple The company is about to extend its planned $100 million investment within the country because the iPhone maker seeks Jakarta approval to sell its latest phones, in response to state media.
The latest smartphone model from the American technology giant doesn’t come near the Indonesian one 40% of domestic content requirements for smartphones and tablets and has no sales release within the country.
The purpose of the ban is to guard local industry and jobs. Officials are calling on Apple to extend the ban Investments and commitments to the economy to achieve higher access.
According to a report by Indonesian state media, the country's Ministry of Industry reports met with Apple representatives on Thursday about its proposal to speculate $100 million over two years.
According to the report, the funds would go towards a research and development center program and knowledgeable development academy within the country.
The company also plans to provide accessory product components, particularly mesh for Apple's AirPods Max, starting in July 2025, it added.
Apple didn’t immediately reply to a request for comment from CNBC.
The recent offer is ten times larger than a proposal this was reported Previously, the federal government was still attempting to sweeten the deal to get a “fair” commitment.
“From the government’s point of view, of course we want this investment to be larger,” said Industry Ministry spokesman Febri Hendri Antoni Arif said state media on Thursday.
He said a serious investment would support the event of Indonesia's manufacturing sector, adding that the domestic industry is able to supporting the production of Apple devices reminiscent of chargers and accessories.
While Indonesia represents a small marketplace for Apple, it also offers growth opportunities because it has the fourth-largest population on this planet, in response to Le Xuan Chiew, a Canalys analyst specializing in Apple strategy research.
“Its young, tech-savvy population with growing digital literacy fits Apple’s expansion strategy.” [global sales]” he said, noting that it also offers potential for manufacturing and assembly, supporting Apple's efforts to diversify its supply chain.
Success on this market requires a long-term approach, and Apple's investment proposal demonstrates a commitment to complying with local regulations and paving the best way for future growth, he added.
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