According to recent reports, the ban on the iPhone 16 that was enforced by the Indonesian government is set to be lifted, with sales of the latest models resuming on April 11.
This resolution marks the end of a protracted conflict between Indonesia and Apple, which has reportedly cost the tech giant between $300 million and $1 billion over the span of ten years.
Overview of the iPhone 16 Ban
The negotiations surrounding this situation have been notably challenging.
Initially, Apple made a significant investment in Indonesia, pouring $109 million into a developer academy and an additional $10 million for manufacturing. However, the government claimed that Apple had not fully delivered on its promises, alleging that only $95 million had been invested. Despite the minor deficit, Indonesia chose to impose a ban on the sale and use of the iPhone 16 within its borders.
With a population nearing 280 million and increasing economic growth, this issue became quite impactful for Apple. In response, the company proposed a substantial increase in its manufacturing investment in Indonesia, ramping it up from $10 million to $100 million. However, the government indicated that it was seeking an even larger commitment, aiming for a total investment of $1 billion.
Agreement Reached – Investment Amount Still Unclear
Reports last month indicated that Apple had come to an agreement, and a deal was anticipated to be formalized soon.
As per a recent Reuters update, the agreement has been finalized, allowing the iPhone 16 to return to the Indonesian market effective April 11, with the total investment set at $300 million.
Apple announced on Wednesday that its iPhone 16 series will be available in Indonesia from April 11, following the lifting of the sales ban after the company’s investment exceeding $300 million.
