Apple has secured the right to sell the iPhone 7 in Indonesia after committing to investing $44 million in the country in the form of an R&D center.
The investment helps Apple get around a law stating that, from January, all 4G handsets sold in Indonesia must comprise 30 percent of “local content.” This can include hardware, software, or an investment commitment.
Apple chose the latter and was therefore rewarded with a “local content certification” last month, issued by I Gusti Putu Suryawirawan, Indonesia’s director-general for metal, machines, transport equipments and electronics.
With a population of 250 million people, cracking Indonesia would be another coup for Apple as it runs out of new markets to start selling the iPhone.
This is just the latest example of Apple showing itself willing to invest in markets in order to sell its products there. The most notable other examples include India and China, which are both markets Apple is eager to expand its business in.
To open official Apple stores in India, the company has been pulling out all the stops — including a $25 million on a new office complex in India, as well as a brand new local office dedicated to Apple Maps. Between them, these projects will create thousands of new jobs in the country.
In China, Apple has also announced the opening of new R&D centers that will similarly employ large numbers of people.
Of course, the added benefit to this is that not only does Apple make the local government more favorable to its work, but it also means that it gets to tap into local talent — which can prove particularly useful for initiatives like localization of services like Apple Maps.
Source: Reuters
