How about them Apple? It’s Win-Win and now Saudi is in

December 29, 2017 11:42 am


Apple has appologised for the recent uncovering of a long time conspiracy theory that it had slowed the performance of older i-phone models and is now offering great discounts on replacement batteries.

Win no.1: Customer

Apple CEO Tim Cook gets $99 million in bonuses and incentives, in addition to his $3m salary, and the only unfortunate thing was that he was paid too late to take advantage of Boxing Day sales.

Win no.2: Cook

And now, Apple is eyeing to solidify its presence set up offices in Saudi, according to Reuters, allowing the Kingdom’s vision to further materialise towards opening up its markets to foreign investors, and drive forward a digital economy.

Win no.3: Saudi

Let’s start with that, shall we?

Read: Apple fans lash out after company admits it tampered with older iphone models

Apple Amazon talks
Reuters broke the news that Apple and Amazon are in licensing discussions with Riyadh on investing in Saudi Arabia, and that Apple was in talks with SAGIA, Saudi Arabia’s foreign investment authority.

A licensing agreement for Apple stores with SAGIA is expected by February, with an initial retail store targeted for 2019, according to Reuters.

Apple’s main competitor would be Samsung in Saudi, said Euromonitor.

Amazon’s deals is rather interesting as it brings to the table a robust cloud computing division called Amazon Web Services (AWS), which would tackle weaker service providers with opponents like STC and Mobily.

Read: 9 things you need to know about, before, or on Dubai New Year’s Eve 2017/18

Amazon purchased Dubai-based e-commerce retailer Souq.com earlier in 2017

“Riyadh has been easing regulatory impediments for the past two years, including limits on foreign ownership which had long kept investors away,” said Reuters.

“Luring Apple and Amazon would further Prince Mohammed’s reform plans and raise the companies’ profile in a young and relatively affluent market, which already boasts some of the highest internet and smartphone use in the world.”

According to Reuters sources, “Apple and Amazon have both been on a Saudi priority list of foreign firms which officials hope to attract to further their reforms.”

Read: Bullish about Bitcoin? Best 15 crypto apps and e-wallets you need

Apple apology
On Dec. 20, Apple admitted it was secretly slowing down i-phones as their batteries aged, or any time batteries could not keep up with installed high tech devices.

Now they are apologizing and offering a rebate.

“We’ve always wanted our customers to be able to use their iPhones as long as possible. We’re proud that Apple products are known for their durability, and for holding their value longer than our competitors’ devices,” Apple said.

Apple decided to reduce the price of an out-of-warranty iPhone battery replacement by $50, from $79 to $29, for anyone with an iPhone 6 or later whose battery needs to be replaced, starting in late January and available worldwide through December 2018.

Read: Are global oil reserves so fragile that a pipe burst moves up prices?

A heck of a Cook deal

Cook received a 74% increase in his annual bonus for fiscal 2017 as Apple posted higher revenue and net income, said Bloomberg.

“Cook’s incentive pay totalled $9.33 million for the year ended Sept. 30, and took home $3.06 million in salary and a previously disclosed equity award of $89.2 million, bringing his total payout for the year to about $102 million,” reported Bloomberg.

“His top five lieutenants each got bonuses of $3.11 million, bringing their total compensation to about $24.2 million each, including salaries and stock awards.”

Apple shares returned 39% in fiscal 2017, more than double that of the S&P 500. In November, shortly after the start of the current fiscal year, the company released iPhone X, and analysts said they expect the new handset to help accelerate revenue growth.

Tags:

Hadi Khatib
By Hadi Khatib
Hadi Khatib is a business editor with more than 15 years' experience delivering news and copy of relevance to a wide range of audiences. If newsworthy and actionable, you will find this editor interested in hearing about your sector developments and writing about it.



AMEinfo EXPERTS