Apple Inc., based in Cupertino, continues to rely on China’s extensive manufacturing network for producing iPhones and other devices. While the company has been expanding its manufacturing footprint to other key regions like India, China remains a crucial hub.
Recently, a video of Apple CEO Tim Cook has resurfaced and gained traction on social media. In the video, Cook addresses the misconception that low labor costs are the primary reason for Apple’s significant investment in Chinese manufacturing.
Cook challenges this notion, stating, “There is a common misunderstanding about China. Many believe companies are drawn to China solely for cheap labor. However, China ceased being a low-cost labor country years ago.”
He elaborates that Apple’s choice to manufacture in China is driven by the advanced tooling and high precision required for their products. Cook highlights China’s exceptional vocational expertise in these areas.
“The real reason we manufacture in China is due to the concentration of skilled labor and the advanced tooling capabilities available there,” Cook explains. He contrasts the situation by noting that while there might be a shortage of tooling engineers in the US, China has an abundance, sufficient to fill numerous football fields.
The video clip of Cook’s remarks has gone viral on social media platform X, amassing six million views. Tesla and SpaceX CEO Elon Musk has also weighed in, agreeing with Cook’s assessment.
In a brief comment, Musk stated, “True.”
Musk’s endorsement of Cook’s views on China’s manufacturing prowess follows his recent visit to China. During his trip, Musk met with Chinese Premier Li Qiang, who lauded Tesla as a successful example of US-China cooperation.
As Apple prepares for its major event, “It’s Glowtime,” the company is set to unveil the new iPhone 16 series and introduce a new artificial intelligence platform. The event is scheduled for 10:30 PM IST on September 9 in India.
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