The New York Times on Sunday published a provocative piece asking whether Apple has an obligation to make its products at home in the U.S.
The article describes how, in 2007, just before the iPhone hit stores, Steve Jobs angrily discovered that its screen was easily scratched. He ordered the plastic screens be immediately replaced with scratch-proof glass ones.
New screens began arriving at the plant near midnight.
A foreman immediately roused 8,000 workers inside the company’s dormitories, according to the executive. Each employee was given a biscuit and a cup of tea, guided to a workstation and within half an hour started a 12-hour shift fitting glass screens into beveled frames. Within 96 hours, the plant was producing over 10,000 iPhones a day.
“The speed and flexibility is breathtaking,” the executive said. “There’s no American plant that can match that.”
The Times notes that General Motors in its heyday employed 400,000 U.S. workers. Apple employs 43,000 people in the United States and 20,000 overseas. An additional 700,000 workers build and assemble Apple’s products, mostly in China.
But one theme keeps recurring: a better supply of well-educated workers.
When Apple looked at building an iPhone plant in the U.S., it couldn’t find enough engineers to oversee the production lines:
Apple’s executives had estimated that about 8,700 industrial engineers were needed to oversee and guide the 200,000 assembly-line workers eventually involved in manufacturing iPhones. The company’s analysts had forecast it would take as long as nine months to find that many qualified engineers in the United States.
In China, it took 15 days.
In the piece, an anonymous Apple executive says the company “shouldn’t be criticized for using Chinese workers” because “the U.S. has stopped producing people with the skills we need.”
Indeed, in Walter Isaacson’s biography of Jobs, there’s a description of a conversation he had with President Barack Obama during dinner in Silicon Valley. Obama asked Jobs what it would take to make Apple’s products in the U.S.; Jobs replied that it wasn’t cheap labor or government regulation, but a lack of skilled labor.
Jobs told Obama that the country needed more trained engineers, especially those from overseas who get degrees in the U.S. but are forced to leave after graduation.
Obama replied that the immigration reform bill was tied up in Congress, which annoyed Jobs. He later told Isaacson: “The president is very smart, but he kept explaining to us reasons why things can’t get done… It infuriates me.”
The outsourcing question is a complex one, and as the Times piece notes, there are many factors, including exploitive worker conditions.
Still, Apple’s revenue topped $108 billion — more than the state budgets of Michigan, New Jersey and Massachusetts combined. The estimated additional cost of making an iPhone in the U.S. is only $65.
Apple’s products are designed and marketed in America. When the company is enjoying unprecedented financial success, does it have a moral obligation to put that money to work at home?
Leander Kahney is the editor and publisher of Cult of Mac.
Leander is a longtime technology reporter and the author of six acclaimed books about Apple, including two New York Times bestsellers: Jony Ive: The Genius Behind Apple’s Greatest Products and Inside Steve’s Brain, a biography of Steve Jobs.
He’s also written a top-selling biography of Apple CEO Tim Cook and authored Cult of Mac and Cult of iPod, which both won prestigious design awards. Most recently, he was co-author of Cult of Mac, 2nd Edition.
Leander has been reporting about Apple and technology for nearly 30 years.
Before founding Cult of Mac as an independent publication, Leander was news editor at Wired.com, where he was responsible for the day-to-day running of the Wired.com website. He headed up a team of six section editors, a dozen reporters and a large pool of freelancers. Together the team produced a daily digest of stories about the impact of science and technology, and won several awards, including several Webby Awards, 2X Knight-Batten Awards for Innovation in Journalism and the 2010 MIN (Magazine Industry Newsletter) award for best blog, among others.
Before being promoted to news editor, Leander was Wired.com’s senior reporter, primarily covering Apple. During that time, Leander published a ton of scoops, including the first in-depth report about the development of the iPod. Leander attended almost every keynote speech and special product launch presented by Steve Jobs, including the historic launches of the iPhone and iPad. He also reported from almost every Macworld Expo in the late ’90s and early ‘2000s, including, sadly, the last shows in Boston, San Francisco and Tokyo. His reporting for Wired.com formed the basis of the first Cult of Mac book, and subsequently this website.
Before joining Wired, Leander was a senior reporter at the legendary MacWeek, the storied and long-running weekly that documented Apple and its community in the 1980s and ’90s.
Leander has written for Wired magazine (including the Issue 16.04 cover story about Steve Jobs’ leadership at Apple, entitled Evil/Genius), Scientific American, The Guardian, The Observer, The San Francisco Chronicle and many other publications.
Leander is an expert on:
Apple and Apple history
Steve Jobs, Jony Ive, Tim Cook and Apple leadership
Apple community
iPhone and iOS
iPad and iPadOS
Mac and macOS
Apple Watch and watchOS
Apple TV and tvOS
AirPods
Leander has a postgrad diploma in artificial intelligence from the University of Aberdeen, and a BSc (Hons) in experimental psychology from the University of Sussex.
He has a diploma in journalism from the UK’s National Council for the Training of Journalists.
Leander lives in San Francisco, California, and is married with four children. He’s an avid biker and has ridden in many long-distance bike events, including California’s legendary Death Ride.
You can find out more about Leander on LinkedIn and Facebook. You can follow him on X at @lkahney or Instagram.
