Apple iPads, MacBooks excluded from government procurement list as U.S. – China relations worsen over cyber-security

By Alexandra Burlacu | Aug 07, 2014 07:09 AM EDT

Share This Story

  • Print
  • Email

 

China has reportedly excluded several Apple devices from the final version of a government purchase list over security concerns, according to a new report.

The relationship between China and the U.S. is already rocky as it is, with various security concerns making things worse. The latest news now claims that China has decided to ban a number of Apple devices from government purchases.

Follow us

According to Bloomberg, China excluded no less than ten Apple products from its government procurement list, including the iPad, iPad Mini, MacBook Air, and MacBook Pro.

"China's government excluded Apple Inc. iPads and MacBook laptops from the list of products that can be bought with public money because of security concerns, according to government officials familiar with the matter," Bloomberg reports.

These products were reportedly included in a June version of the list in question, along with other products from Dell and HP. The June list was reportedly drafted by the National Development and Reform Commission along with the Ministry of Finance, the officials told Bloomberg, asking not to be identified because the information is not public. The list distributed in July, however, no longer had these products. The current list still awaits reviewing in January next year.

Apple is the latest tech company from the U.S. to be excluded from Chinese government purchases. As the relationship between China and the U.S. worsens over accusations of hacking and cyber-spying, Apple joins Symantec Corp., Kaspersky Lab, and Microsoft on the list of companies pushed aside by the Chinese government.

"When the government stops the procurement of products, it sends a signal to corporates and semi-government bodies," Mark Po, an analyst with UOB Kay Hian Ltd. In Hong Kong, further explained to Bloomberg. "The Chinese government wants to make sure that overseas companies shouldn't have too much influence in China."

This decision to omit Apple products from government procurement lists will most likely deal a heavy blow to Apple. The company drew about 16 percent of its $37.4 billion in revenue last quarter from Greater China. Moreover, iPad sales had increased by 51 percent and Mac sales by 39 percent in the world's biggest market, Apple CEO Tim Cook revealed back in July.

The growing tensions between the U.S. and China are also a result of Edward Snowden's leaks from last year, which revealed sensitive matters regarding a National Security Agency (NSA) spying program. Things escalated even further recently, when news surfaced in May that U.S. prosecutors had indicted five Chinese military officers for allegedly stealing corporate secrets, thus adding more fuel to the fire.

At this rate, tensions between the two countries over cyber-security are only amplifying, and tech companies are caught in the middle as collateral damage.

 

Get the Most Popular Mobile&Apps Stories in a Weekly Newsletter

© 2014 Mobile & Apps All rights reserved. Do not reproduce without permission.

Join Our Conversation

Smartphones
T-Mobile Samsung Gear S Samsung Gear S 3G smartwatch gets wearable-specific data plan on T-Mobile – Prices & options
‘World’s narrowest’ FHD smartphone display from LG is virtually bezel-free
Samsung Galaxy A3, Galaxy A5 break cover with full-metal unibody designs & more (VIDEO)
Droid Turbo global version launching on Nov. 5 as Moto Maxx?
Tablet / Laptop / PC
Dell Venue 7 and Venue 8 Dell unveils Venue 7 and Venue 8 Android 4.3 Jelly Bean tablets
Retina iPad Mini facing delays, may not launch until early next year
Refurbished 128GB iPad with Retina Display now available on the Apple Online Store
Samsung Galaxy Note 10.1 – 2014 Edition: Pricing and availability now official
Gadgets
Amazon Logo Amazon reportedly to launch ‘Firetube’ set-top box before 2013 holidays
Samsung Galaxy Note 3 and Galaxy Gear India launch: Pricing and availability
Samsung Galaxy Gear Android smartwatch now up for pre-order in Canada
Samsung Galaxy Gear 2 reportedly in the works already, may debut at CES or MWC 2014
OS / Software
HTC Logo HTC reportedly considering Android/Windows Phone dual-booting smartphone as Microsoft pushes for deeper Windows mobile integration
iOS 7 Chrome Incognito mode leaks private searches due to bug
Sprint HTC One Android 4.3 Jelly Bean already rolling out, AT&T, T-Mobile & Verizon to follow
Microsoft Windows 8.1 now available for pre-order
Internet / Social Media
Google Downtime Google blacks out for two minutes, causes 40 percent drop in world’s Internet traffic
Xbox Music web player is live and ready for Xbox Music Pass subscribers
Facebook Android app collected phone numbers even if users never logged in
Firefox 22 brings support for web video calls, 3D gaming, and Unreal Engine 3
What's App
Flipboard for Windows Phone Flipboard for Windows Phone finally available, but requires 1GB of RAM (VIDEO)
Vine gets major update, lets you upload previously-shot videos & more (VIDEO)
BlackBerry Messenger (BBM) finally hits Windows Phone – Available as a free download now
Instagram releases Bolt ephemeral messaging app in select markets to challenge Snapchat
Copyright © 2014 Mobile & Apps All rights reserved. mobilenapps
Real Time Analytics