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Apple has invested $1 billion in Chinese ride-hailing company and Uber competitor Didi Chuxing, reports Reuters. The move is a strategic investment that will help the Cupertino company better understand the Chinese market, CEO Tim Cook told Reuters.

Didi-Chuxing.jpg

"We are making the investment for a number of strategic reasons, including a chance to learn more about certain segments of the China market," he said. "Of course, we believe it will deliver a strong return for our invested capital over time as well."
Didi Chuxing, which has raised several billion dollars in funding, says the investment from Apple is the largest it's ever received. Didi Chuxing dominates the ride-sharing market in China, completing more than 11 million rides a day and owning 87 percent of the market in the country.

Although Apple has hired many employees in recent months with automotive backgrounds, likely for its secretive Apple Car project codenamed Project Titan, Cook insists Apple is currently focused on the in-car experience. However, he did not deny what the future may have in store for a potential Apple Car. "That is what we do today in the car business," he told Reuters. "So we will have to see what the future holds."

Cook also used the deal to underline Apple's confidence in the market, saying that it reflects the company's "continued confidence in the long term in China's economy." Apple's sales fell 26 percent in Greater China in the second quarter of 2016, causing Carl Icahn to sell his full stake in the company. Apple was also recently forced to take down its iTunes Movies and iBooks stores in the country. Cook will visit China and meet with government officials this month.

Article Link: Apple Invests $1 Billion in Chinese Ride-Sharing Company Didi Chuxing
 

Shirasaki

macrumors G5
May 16, 2015
14,086
8,758
China becomes just SO important that they invest 1 BILLION on an industry which is far less technology-intensive.

Tim Cook may eventually move half Apple to China if he holds power long enough? God knows, or this will simply never happen? I think this will never happen.
 
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maxsix

Suspended
Jun 28, 2015
3,100
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Western Hemisphere
This is an example of why Apple's here to stay for the long haul. Even when they jump in bed with Communist China, buying the country's acceptance, Apple devotees cheer them on.

Few if any Millennials care, or even know what communism is.

Unable to comprehend, too complacent to educate themselves, too deep in a life of entitlements, they'll never know the difference until it's too late. If they're ever hit by the slap of reality, it's going to be the biggest wake up call of their lives.
 

AxoNeuron

macrumors 65816
Apr 22, 2012
1,251
855
The Left Coast
The idea of Apple entering the automotive industry is unfathomably stupid. It's as if Nissan decided to build a smartphone. It's just dumb.

The automotive industry is an entirely different ballgame from the tech industry. Apple is gonna learn that the hard way it seems.

Apple really is just a rudderless ship now, they essentially just do whatever sounds good to the cloned MBA's in a boardroom. Buying up Beats, Apple Music, selling 16GB iPhones in the year 2016....they really are shooting themselves in the foot.

No wonder AAPL has taken such a dive, I'm surprised they lasted as long as it did
 

ApfelKuchen

macrumors 601
Aug 28, 2012
4,334
3,006
Between the coasts
Hmmm. And I just said this earlier today, in the R&D thread:
I have no way of knowing what Apple will do, but one of the possibilities is that Apple isn't approaching this as a "car" project, but as a transportation project. Personal transportation (private vehicles) is often at odds with public transportation/mass transit. Autonomous vehicles will integrate nicely into the public/mass transit picture. They'll be substantially less expensive than an Uber or taxi. The same vehicle can deliver either private or shared ride, capacities can range from one to hundreds of passengers... Then there's delivery - constant electronic surveillance, TouchID verification of the recipient's identity prior to unlocking the package compartment. The same vehicle may deliver a pizza then moments later, pick up a passenger...

Perhaps Apple's vehicles will be available as a premium-quality service, rather than as a retail product?
China, with all its traffic problems, would certainly be an excellent test bed for this proposition.
 

ipedro

macrumors 603
Nov 30, 2004
5,918
7,619
Toronto, ON
This and Apple's intense focus on China are an overt hint at what Apple plans to do with their electric car.

China is a booming market for car sales and for automobile transportation in general. Cars on Chinese roads have multiplied several times over in the last decades but polls show that while Chinese are attracted to the status symbol that a car represents, they aren't attached to the Western centric romance of driving a car. Essentially, they're the perfect market for an autonomous car.

We'll likely see Apple quickly build the condition for an autonomous vehicle fleet in large cities via Uber-esque service which will allow a newly wealthy Chinese population to flaunt their status symbol Apple cars while working on their iPad Pros in the back seat as their car drives them to work.

It's not a car in the traditional sense. It's the ultimate electronic gadget.
 

TallManNY

macrumors 601
Nov 5, 2007
4,591
1,417
Kind of weird. It is a huge investment for Apple. Not that they don't have the money, but it is just unusual for them to put it to work that way.

I think the argument, stated above, that it is part bribe to China regulators might be true. It also might give them access to some data about car ride and car sharing. Though Apple Maps gives them a ton of data about how people move around in cars every day.
 
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Michaelgtrusa

macrumors 604
Oct 13, 2008
7,900
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This is an example of why Apple's here to stay for the long haul. Even when they jump in bed with Communist China, buying the country's acceptance, Apple devotees cheer them on.

Few if any Millennials care, or even know what communism is.

Unable to comprehend, too complacent to educate themselves, too deep in a life of entitlements, they'll never know the difference until it's too late. If they're ever hit by the slap of reality, it's going to be the biggest wake up call of their lives.
Indeed true and well said. They are fools! People that are awake this this know what it's going to take. When the war comes, what will you use to defend this nation as well as the rest.Troops in mexico and the caribbean that the dollar is paying for. the people that run this nation gave the the panama channel for free, every deep water port for free, but Instagram's new icon is more important. the list is long. just look at what Google did to Motorola and all the ip they invented. What has Communist china invented?
 

Pbrutto

macrumors 6502a
Apr 21, 2015
611
1,276
Eastern PA
I suspect some of this is a way to reinvest their profits in China. Between US taxes and Chinese capital controls, Apple needs to put their money to work in-country.

What about paying 1,000 of workers from said country to assemble everything that they make?....why not buy Foxconn....why not buy anything related to their product.......really scratching my head on this whole thing. I really, really, really hope this isn't some back door government bullsh*t that one of our own politicians would pull just to get them to stop burning books...I mean closing apples book service....etc.etc.etc.
 
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