While an executive order signed by US President Donald Trump will ban TikTok in the US starting mid next month, another executive order from the president banning US companies from doing business with the WeChat app also starts in mid-month. 9. As we mentioned last week, This executive ordinance could be counterproductive for the government as it could reduce iPhone sales in China. And if Apple is forced to remove WeChat from the App Store, Huawei phones (and others thereafter) will benefit from having no “super apps” on the iOS app store.
Of the 100 Chinese iPhone users, 95 will switch brands instead of losing WeChat
You see, WeChat is a must-have app in China with over a billion people using it as browsers, email clients, online shopping and mobile payments apps, etc. announced by Bloomberg from Hong Kong residents and iPhone users Kenny Ou summarized the situation. If Apple was forced to delete WeChat from the App Store, Ou said that his iPhone would be turned into “an expensive electronic trash”. That’s because, like many Chinese consumers who pack iPhones, he sees apps as one of the most important software features on his phone. Ou, an engineering student, noted that he may have to make a difficult decision. “All of my products are Apple – my Macbook, iPad, iPhone, and even my AirPods. Apple has created a strong bond between their products and made me very dependent on them.” their brand. It would be a great disaster to my study and work if such a ban was imposed. “
Most iPhone owners in China prefer to ditch the iPhone rather than lose WeChat
Shanghai commodity trader Vincent Han plans to replace his Huawei phone with an iPhone. But these plans were changed as a possible WeChat ban. Han said: “I am worried that WeChat will be banned on the iPhone. This will greatly affect my work, as 90% of my customers and colleagues communicate via WeChat. However, even the operating system. Samsung’s Android is also developed by Google and I’m concerned that the Android platform will also block WeChat. “
Not only iPhone sales in China could be affected by the removal of WeChat from iPhones. Analyst TF International and who knows what the coffee shop in Cupertino will serve on this date 2023, Ming-Chi Kuo recently forecast that global iPhone sales this year will drop 25% to 30% if Apple forced to remove WeChat from its iOS app store. Kuo also saw a drop in global sales of between 15% and 25% for Apple’s AirPods, iPad and Apple Watch if the Trump administration banned WeChat from the App Store.
WeChat’s parent company Tencent believes that Trump’s executive order will apply to WeChat in the United States. Hence, the Chinese version of WeChat, Weixin, will still be available in the App Store. If so, iPhone sales may not be as negatively affected as initially thought. However, on China’s Weibo microblogging site, 1.2 million people were surveyed and asked to choose between WeChat and their iPhones. 95% of those who responded said they would rather give up the iPhone than lose WeChat.
Apple started shipping iPhones in China in 2009, and since then, it has delivered 210 million units in that country. As of June, 20% of Chinese smartphone owners are using an iPhone compared with 26% using a Huawei phone. China remains the world’s largest smartphone market, and as a result, it remains an important region for Apple. In the last fiscal year, Greater China contributed 17% of Apple’s total revenue, or $ 43.7 billion. At its peak, Greater China earns one out of every $ 4 spent on an Apple product or service.
If Apple is forced to stop offering WeChat, there are other Asian companies waiting for them including Xiaomi, Oppo and Vivo.