Tim Cook came to China. The media has two versions, why: a scandal with “spy chips” or a weak start in sales of the iPhone XS

Or maybe Cook just got tired of sitting in the huge Apple campus.

Tim Cook’s photo from his Weibo account

On October 9, Apple CEO Tim Cook published several photos from China in his account on the local social network Weibo. Journalists of specialized media almost immediately began, why Cook could come to the country.

Version 1 – a spy chip scandal

On October 4, Bloomberg released a material stating that spyware chips are inserted into server motherboards at Super Micro factories in China. Among the sources, the publication, among other things, indicated high-ranking Apple employees and noted that the company allegedly turned to the FBI after finding bugs.

Apple immediately began to deny the presence of spyware chips, and the next day released a large rebuttal material on its website, where the items questioned the details of the investigation of Bloomberg. Despite the lack of evidence and anonymous sources, the material of the publication influenced the company’s shares.

Apple shares fall from the evening of October 3. EToro image

Since the beginning of the scandal, Apple’s securities have fallen in price by 6%, although the day before the release of the article they were on the rise. For a company, this is considered to be a sharp drop – on a typical market day, its shares do not fall that way.

Profile media believe that the scandal also hit Apple’s relationship with Chinese suppliers, who are already not in the best condition because of the increase in tariffs on imports of electronics from China. This explains the journalists Cook’s visit.

Version 2 – an attempt to reanimate poor sales of the iPhone XS

The Chinese market is one of the largest for Apple, so The Washington Post reporters suggested that the head of Apple came to China amid the “disappointing” first iPhone XS sales.

The publication found out that Cook should take part in a meeting with the Chinese authorities at the School of Economics and Management at Tsinghua University School of Economics and Management. During the event, he may also intersect with the President of the PRC.

The secretary of the Chinese Communist Party issued a statement, judging by which, the authorities expect Cook to “play the greatest role” in improving relations between the US and China.

At the same time, WP journalists are confident that the visit of the head of Apple is exactly the image and is associated with a weak start of the iPhone XS due to the high price of the device compared to local manufacturers. The publication claims that Cook should meet with a certain person who will help promote Apple products in the Chinese market.

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