Prior to the pandemic, Apple Inc. deployed hundreds of US engineers to China each month to oversee the contract manufacturers who built the majority of its products.
In a move, the global technology behemoth is now relying more on local engineers.
Most Apple engineers working in the United States have been barred from entering China for the past two years due to strict border measures designed to keep the Covid-19 virus at bay. New iPhone models for 2020 were delayed, but Apple has mainly kept up with its annual product cycle since then by focusing on localization, according to sources familiar with the subject.
According to the sources, Apple’s China-based engineers have taken on increased tasks to keep the cycle continuing. The power shift highlights China’s expanding technical prowess, which has been developed over decades as Apple and other international corporations have trained generations of engineers and technicians.
According to the people, the iPhone maker has also implemented certain technologies, such as live-streaming, that allows personnel at its headquarters in Cupertino, Calif., to remotely watch what’s occurring on China’s manufacturing floors. According to one of the sources, Apple has utilized iPads to communicate and augmented-reality capabilities to assist technical experts in Cupertino with factory concerns.
The majority of Apple products are manufactured in China by companies such as Foxconn Technology Group and Pegatron Corp.
According to the sources, key decisions and essential duties such as product design are still focused in Cupertino. And some engineers have visited China, albeit in tiny numbers, according to one of the sources.
Requests for comment were not returned by Apple.
Apple warned last month that the comeback of Covid-19 in China threatens to affect sales by up to $8 billion in the current quarter. With numerous suppliers situated in and around Shanghai—the city has been closed for more than a month, and nearby areas are also subject to tight Covid-control measures and logistical snarls—supply Apple’s chain in China has been hampered for weeks.
China continues to restrict visas for foreigners and requires those who do enter to spend weeks in quarantine in government facilities. Many organizations have been discouraged from sending as many personnel into the country as they used to, whether for business visits or longer job periods.