Apple Inc.’s iMovie and iBooks services on the iTunes Store have abruptly gone dark in China amid government pressure just six months after they were launched there. China is Apple’s second-largest market by revenue, and the shutdown could augur ominously for the Cupertino, Calif. company’s relationships in Beijing. (THR)
They were only launched in the market seven months ago, the first time that components of the Apple entertainment ecosystem had been allowed to operate in China. It appears that the order to take them offline came from the media regulator, the State Administration for Press Publication Radio Film and Television. (Variety)
Apple said in an emailed statement that it hoped the services could resume “as soon as possible,” but offered no details about the shutdown. Apple Music and Apple Pay are reportedly still working. China is Apple’s second largest market after the U.S. and a key driver of its sales growth, with stylish stores selling Apple products now a feature of almost all major cities. In February, the tech giant launched its smartphone-based payment system, Apple Pay, in China, making it the fifth country where the service is offered. (Mashable)
The case highlights the challenges of navigating China, where laws are often vaguely worded and clarified later. In meetings with Apple two weeks ago, officials pointed to broad new rules issued in February that ban companies with any foreign ownership from engaging in online publishing, one of the people familiar with the talks said. (WSJ)