Tim Cook allegedly pledged $275 billion to China in investment deal

Apple CEO Tim Cook “secretly” entered into an agreement with China in which he agreed to invest about $ 275 billion of Apple’s money to strengthen the country’s economy and “technological prowess,” according to a new report.

The five-year deal was reportedly signed during a series of visits Cook made to China in 2016 amid growing regulatory hostilities against Cupertino. Since then, Apple has become China’s largest smartphone brand.

Cook puts an end to regulatory action against Apple

“Before the meetings, Apple executives fought to save the company’s relationship with Chinese officials, who felt that the company did not contribute enough to the local economy,” reports The information.

As a result of “government repression” and the bad publicity that came with it, iPhone sales in China plummeted. So Cook entered into an agreement with the authorities, promising billions in Apple cash, according to leaked documents.

The agreement is said to promise support that includes “training of high-quality Chinese talent”, “advanced manufacturing technologies”, new retail stores, research and development facilities and renewable energy projects.

Cook also promised that Apple would buy more product components from Chinese suppliers, collaborate with local universities, enter into agreements with Chinese software companies and invest in Chinese companies.

Apple has already made major investments

Cook “personally lobbied officials” after authorities threatened to impose restrictions on Apple services such as iCloud and the App Store, the report said. Other Apple officials, including COO Jeff Williams and Lisa Jackson, vice president of environment and politics, also met with Chinese officials.

That same year, Apple invested $ 1 billion in Chinese company Didi Chuxing – of which Apple is now a board member. Apple also hosted more than $ 50 billion ($ 7 million) last year to help China’s COVID-19 aid effort.

The 1,250-word “memorandum of understanding” reportedly lasts five years, with the possibility of extending it by another year – until May 2022 – if neither party objects

The report also expresses concern that Apple may have trouble dealing with the Chinese government after Cook resigns as CEO. You can read the full report from The information for more.

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