Apple iPhone sales in China may take a major hit if Apple is forced to remove WeChat from the App Store according to analyst Ming-Chi Kuo. US President Donald Trump has signed an executive order banning US companies from doing business with WeChat. This could mean that Apple may have to remove WeChat from the App Store.
Reports suggest that Apple’s sale may go down by as much as 30% if WeChat access is taken away from iPhones. This is because WeChat is not just the most popular mesaging app in China, it is also a preferred payment platform and also offers social media access, online shopping and even news. WeChat is a major online platform in China and Chinese users not having WeChat on a phone would be a huge inconvenience.
As per the executive order, if Apple is just required to remove WeChat from the US app store then it will not have much impact and as per Kuo it may lead up to 6% decline in iPhone sales.
The signing of the executive order means that Apple will have 45 days to remove WeChat from its App Store across the globe. “However, many expect the administration to weaken the terms by that time,” as per the report by 9to5 Mac.
Last week US Secretary of State Mike Pompeo called out popular video app TikTok and the messaging app WeChat, as “significant threats to the personal data of American citizens, not to mention tools for CCP (Chinese Communist Party) content censorship.”
Meanwhile, the Indian government has already banned TikTok and WeChat in India. Recently, the government has also blocked Baidu Search and Weibo as well. Baidu Search is the Chinese alternative to Google Search while Weibo does the job of Twitter in China.