Cupertino tech giant Apple relies on its vast manufacturing network in China to mass-produce its iPhones and other devices. In recent times, the company has also focused on other key markets including India to diversify its manufacturing base.
Days ahead of the much-awaited launch of the iPhone 16 series, an old video of Apple CEO Tim Cook is doing the rounds on social media. In the viral video, Cook is seen addressing the common misconception about why the US company has invested heavily in China for its product manufacturing.
Dispelling the common perception that companies move to China for cheap labour, Mr Cook said, “There is a myth about China. And at least let me tell you my opinion. The common perception is that companies come to China because of the low labour cost. I’m not sure what part of China they go to, but the truth is that China is no longer the low labour cost country it was many years ago.”
The Apple CEO elaborated on the advanced equipment and precision required to produce the products and highlighted China’s professional expertise in these areas.
“The reason for this is the skills, the amount of skills in one place and the type of skills,” he said.
Mr. Cook said the product he makes “really requires advanced equipment, and the precision that must be taken in using the equipment and working with the materials is state of the art.”
He said, “The tooling skills here are very deep. You know, in the U.S. you could have a meeting of tooling engineers, and I’m not sure we’d be able to fill the room. In China, you could fill several football fields. The business expertise here is very, very deep.”
The throwback clip of Tim Cook was shared on social media site X and has garnered six million views so far. It also caught the attention of Tesla and SpaceX CEO Elon Musk, who agreed with his views.
“True,” Mr Musk wrote in the comments section.
Truth
— Elon Musk (@elonmusk) September 6, 2024
Mr Musk’s comments on the Chinese manufacturing sector come just months after his surprise visit to the Asian country, where he plans to introduce Tesla’s self-driving technology in a fiercely competitive market.
During his visit he met Chinese Premier Li Keqiang, who praised Tesla as a “successful model” of US-China cooperation.
Meanwhile, Apple is currently gearing up for its mega event ‘It’s Glotime’. The tech giant will set the stage for a new artificial intelligence platform apart from launching its all-new iPhone 16 series.
The event will take place on September 9 at 10:30 pm in India.
