Apple to increase Indonesia investment tenfold to appeal iPhone 16 ban
Indonesia hasn't budged on Apple's $10 million investment offer to lift an iPhone 16 sales ban, so the company has reportedly increased its offer to $100 million.
iPhone 16 has been banned from sale in Indonesia
Indonesia Ministry of Industry blocked Apple's ability to sell the iPhone 16 in the country after falling short of a $109.6 million commitment to invest. Apple reportedly offered an additional $10 million investment on November 5, but that appears to have not been enough to get the sales ban lifted.
According to a report from Bloomberg, Apple has allegedly offered to invest almost $100 million into Indonesia over the next two years. The Ministry of Industry hasn't made a decision yet, but it is reportedly demanding Apple rethink its investment plans to focus on R&D.
The iPhone 16 ban and investments from Apple stem from a rule that requires a valid Domestic Content Level certificate to sell products like iPhones in Indonesia. Apple had one until it fell short of the 40% investment threshold by investing $94.53 million instead of the needed $107.6 million or so.
Previous investments went to manufacturing companies and the creation of Apple Academies. A fourth Apple Developer Academy opened in Indonesia in April 2024.
No official word from Apple or the Indonesian Ministry of Industry has been released. If Apple invests the new $100 million offer satisfactorily, the iPhone 16 ban will likely be lifted.
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Comments
I like the way that after Apple also in Indonesia "forgot" to contribute locally. But this time it got blocked without the 10-15 year delay we have seen in EU. Would be fun to have EU demand 40% local content and hit just as fast. It certainly would generate a lot of comments here.