Apple to expand applied research labs in Shanghai and Shenzhen as iPhone sales weaken in world’s largest smartphone market

Apple is enlarging its applied research operations in mainland China, as the US technology giant’s iPhone sales slow in the world’s largest smartphone market amid increased competition from Huawei Technologies and other major domestic handset vendors.

Cupertino, California-based Apple plans to expand its research centre in Shanghai to support all of its product lines and open a new lab in southern tech hub Shenzhen later this year, the company said in a statement on Tuesday.

The Shenzhen lab is expected to boost Apple’s testing and research capabilities for its major products including the iPhone, iPad and Vision Pro mixed-reality headset, according to the company. The new facility will also serve to strengthen the firm’s collaboration with local suppliers, while providing support to all its employees in the region. The mainland forms part of Apple’s Greater China region, which also covers Hong Kong, Taiwan and Macau.

Apple’s vice-president and managing director of Greater China, Isabel Ge Mahe, said in the statement that the company is “proud” to cultivate deeper ties in China and expand its facilities in the country.