Apple’s Disappointing Outlook Spotlights Growing China Woes
- Rising tensions between Washington and Beijing pose challenge
- Huawei’s resurgence has dented iPhone’s prospects in China
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Apple Inc.’s disappointing holiday-quarter outlook has cast a spotlight on its mounting problems in China, where the iPhone maker is struggling with the unexpected rise of Huawei Technologies Co. and an increasingly hostile business environment.
Apple, which is trying to reverse several successive quarters of revenue decline, reported its lowest revenue from the greater China region since mid-2022. Chief Executive Officer Tim Cook assured Wall Street that iPhone demand remains strong in China, blaming Mac and iPad weakness instead. But he also predicted flat December-quarter revenue, suggesting Wall Street won’t see the growth rebound it’s banking on. Shares slid 1.7% at 9:33 a.m. in New York on Friday.