In a shocking revelation, the Chief Executive of tech giant Apple Inc, Tim Cook, has signed an agreement with Chinese officials worth around $275 Billion to buy peace with Chinese authorities in order to avoid threats that would have negatively impacted its business of devices and services in China, according to a report released by The Information on Tuesday. The hefty deal was made five years ago in 2016 when Cook had visited China to quash a host of regulatory action against the company, the report added. The Apple CEO also signed the agreements with a Chinese government agency to persuade Chinese officials who thought that the company wasn't contributing enough to the local economy. To retain his hold on the Chinese markets, which happens to be Apple's largest market, Cook also made concessions to Beijing which proved to be a winning key to legal exemptions, the report further said.
Key Points :
1. The agreement states that a portion of Apple's investment in China would be directed towards building new retail stores, research and development centers, and renewable energy projects, the report said.
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2. China is one of Apple's largest markets with annual sales growth of 83% in the country in its fiscal fourth quarter.
3. To further support Beijing, Apple has also promised in the agreement to use more components from Chinese suppliers in its devices including usage of Chinese software. Under the agreement, signed deals Chinese software firms and invest in Chinese tech companies, the Information report said.
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