Apple has proposed to invest 0.1 billion US dollars in India within two years in exchange for the Indonesian government to lift the ban on the sale of the new iPhone. However, there were reports on Friday that the Indonesian government hopes that the scale of Apple's investment will exceed this figure.
The country's Ministry of Industry met with Apple representatives on Thursday to discuss Apple's proposal to invest 0.1 billion dollars over two years, according to Indonesian state media reports.
According to reports, the funding will be used for an R&D center project and a professional development college in the country. The company also plans to start manufacturing accessory product components in July 2025, specifically for Apple's AirPods Max.
Although Apple's new proposal is 10 times the previously reported $10 million investment plan, the Indonesian government is still trying to raise Apple's price to obtain “fair” promises.
“Of course, from the government's perspective, we want this investment to be bigger,” Indonesian Ministry of Industry spokesman Febri Hendri Antoni Arif (Febri Hendri Antoni Arif) told the media.
He said that larger investments will help the development of the Indonesian manufacturing industry, adding that Indonesia's domestic industry has the ability to support the production of Apple products, such as chargers and accessories.
Le Xuan Chiew, an analyst at Canalys who focuses on Apple's strategic research, said that although Indonesia is a small market for Apple, it also offers growth opportunities because it has the fourth largest population in the world.
“Indonesia's young, tech-savvy, and digitally literate population is in line with Apple's strategy to expand (global sales),” he said. He pointed out that Indonesia also provides manufacturing and assembly potential to support Apple's efforts to diversify its supply chain.