U.S. markets open in 4 hours 9 minutes

  • S&P Futures

    4,073.00
    +15.50 (+0.38%)
     

  • Dow Futures

    33,043.00
    +140.00 (+0.43%)
     

  • Nasdaq Futures

    12,996.00
    +31.00 (+0.24%)
     

  • Russell 2000 Futures

    1,794.50
    +10.20 (+0.57%)
     

  • Crude Oil

    73.67
    +0.70 (+0.96%)
     

  • Gold

    1,985.20
    +0.70 (+0.04%)
     

  • Silver

    23.84
    +0.37 (+1.59%)
     

  • EUR/USD

    1.0874
    +0.0027 (+0.25%)
     

  • 10-Yr Bond

    3.5660
    0.0000 (0.00%)
     

  • Vix

    19.01
    -0.96 (-4.81%)
     

  • GBP/USD

    1.2350
    +0.0038 (+0.31%)
     

  • USD/JPY

    132.6390
    -0.1060 (-0.08%)
     

  • Bitcoin USD

    28,538.92
    +40.56 (+0.14%)
     

  • CMC Crypto 200

    620.09
    +19.12 (+3.18%)
     

  • FTSE 100

    7,613.36
    +49.09 (+0.65%)
     

  • Nikkei 225

    27,782.93
    -100.85 (-0.36%)
     

Apple Supports 4.8 Million Jobs in China, More Than Double US Total

Paul Ausick

Apple Inc. (AAPL) announced Friday morning that it will invest more than 3.5 billion yuan (about $506 million) to establish research and development centers in Shanghai and Suzhou, China. But the most interesting bit in the announcement comes in the boilerplate at the end of the press release: "Apple has created and supported 4.8 million jobs in China …" (thanks to Google Translate). That's about 2.5 times the number of jobs the company claims to have created and supported in the United States.

At the end of 2015, Apple claimed it was "responsible for creating and supporting 1.9 million U.S. jobs." Most of those — 1.4 million — "are attributable to the iOS ecosystem." The company said it directly employs more than 76,000 people in the United States, or "nearly two-thirds" of the company's worldwide workforce. Apple reported it had 116,000 employees worldwide at the end of its fiscal year in September 2016, and a story in The New York Times published last November cites an Apple statement that it has created "over two million jobs" in the United States since the iPhone was introduced.

ALSO READ: JPMorgan Out With Top Ranked Tech Networking/Hardware Stocks to Buy

This morning's press release also claims that Apple has "created and supported" 1.8 million iOS ecosystem jobs in China and that the company employs more than 12,000 people in its 22 Chinese offices and 46 Apple Stores.

The difference between the number of jobs Apple claims responsibility for in China and the United States is due primarily to its manufacturing contract with Taiwan-based Hon Hai Precision Industry, better known as Foxconn, which has the capacity at its mainland plant in Zhengzhou to assemble half a million iPhones every day.

Foxconn employs about 1.2 million people, most of whom work assembling iPhones. However, the company also has begun an automation program that it expects to result in building about 30% of its iPhones with robots by 2020. The company replaced 60,000 workers with robots last year in a first phase of the long-term plan.

ALSO READ: 23% of Owners Say They Plan to Upgrade to New Apple iPhone in the Fall

The Taiwanese firm also has said it is considering moving some production to the United States but has not offered any specifics. That would add about $30 to $40 to Foxconn's cost of assembling an iPhone, according to a report from Bloomberg News. In China, assembling an iPhone adds about $10 to the cost.

If Foxconn is going to automate its iPhone production in China, it follows that if it were to set up a manufacturing facility in the United States the company would choose to automate that facility from the start. There would be no point in hiring thousands of people to build iPhones that could be more cheaply built by robots.

ALSO READ: Apple ‘One of the Most Underappreciated Stocks in the World’

Apple's supplier list for 2016 names its top 200 global suppliers. There are dozens of suppliers from greater China (mainland, Hong Kong and Taiwan), many with more than one location. These likely account for about half the 4.8 million jobs that Apple claims it created and supported in China.

Excluding the 1.4 million iOS ecosystems U.S. jobs and the direct U.S. jobs Apple created and supported, the company could be indirectly responsible for another 500,000 to 600,000 U.S. jobs. That's a far cry from the 2 million or so Apple has created in China.

Related Articles

Recommended Stories

  • Will Bitcoin keep minting more millionaires or is this just a 'dead cat bounce'? Here's why Warren Buffett believes crypto 'will come to a very bad ending'

    The Oracle of Omaha never saw a future in cryptocurrency.

  • Cathie Wood Doubles Down on These 2 Stocks Under $5

    There’s no getting away from it, given the Fed’s policy of aggressive rate hikes, a soft landing for the U.S. economy appears out of the question. That at least is the opinion of Cathie Wood, who is therefore readying for a hard landing. “Money velocity is flattening,” the ARK Investment Management CEO said recently in reference to the recent banking mess while Wood also expects a marked deceleration in nominal gross domestic product. However, these are all blind spots for the Fed, she believes,

  • Market Rally Picks Up Steam, Here's What To Do; 10 Stocks Flashing Buy Signals

    The stock market rally gained momentum Wednesday, clearing key levels. Microsoft and Micron were among 10 stocks flashing buy signals.

  • Elon Musk Says Warren Buffett Missed Out On The Best Stock

    Elon Musk doesn't seem all that impressed with Warren Buffett's stock picks. And he took to Twitter — of course — to say so.

  • In Case You Haven't Heard: Your Required Minimum Distributions (RMDs) Have Officially Been Pushed Back

    The SECURE 2.0 Act, signed by President Biden in December 2022, includes dozens of changes to provisions related to tax-advantaged retirement accounts. Among the most important changes is a provision, which took effect Jan. 1 of this year, that delays … Continue reading → The post Your Required Minimum Distributions (RMDs) Have Officially Been Pushed Back appeared first on SmartAsset Blog.

  • 'So absurd': Bernie Sanders says the top 15 hedge fund managers earn more than all the kindergarten teachers in the US — here are 3 of the richest hedgies and what they're invested in

    What we know about the world’s richest.

  • Ask an Advisor: We Are 70 Years Old, Have $99K in Retirement Income, a $1.4M IRA and Other Investments. Is It Too Late to Convert to a Roth?

    My wife and I are 70 years old. We've paid off everything, including the house. Between my pension of $29,000 and Social Security, we're getting a gross of $99,000 a year in income, which is more than enough. Our current … Continue reading → The post Ask an Advisor: We Are 70 Years Old, Have $99K in Retirement Income, a $1.4M IRA and Other Investments. Is It Too Late to Convert to a Roth? appeared first on SmartAsset Blog.

  • ‘Charts Point to Higher Highs,’ Says Oppenheimer. Here Are 2 Stocks With Over 100% Upside Potential

    There are different ways to assess whether it’s time to lean heavily into a certain class of stocks, and according to Oppenheimer’s head of Technical Analysis Ari H. Wald, the charts right now are pointing toward a resurgence in growth. “Recent points of market discussion have included incremental cracks in value and concurrent relative strength in growth,” Wald noted. “Breaking down the components and their influence on the market, we see growth in a stronger position to the lead the S&P 500 hi

  • Biden’s sweeping plan to help renters comes 'at the expense' of mom-and-pop landlords — here's what to do if you still want your slice of the real estate pie

    Rule changes living rent-free in your mind? Perhaps it's time for a more passive approach.

  • Cathie Wood Backs Out of One Investment She Previously Praised

    Ark Invest's Cathie Wood, after talking up investing in autonomous taxis, has sold a large number of shares in a major player in the business. According to Ark's daily trade update on March 28, Wood has decided to sell 226,727 shares of XPeng from her ARK Autonomous Technology & Robotics ETF . In Ark's Big Ideas 2023 publication, Wood had said that autonomous taxis are a reality today.

  • Buy Alibaba Stock Because $130 Is Around the Corner, Says Top Analyst

    It’s all change at Alibaba (NYSE:BABA). In what represents the biggest recalibration of the organization in its 24-year history, the Chinese ecommerce giant announced that it will split its business into six different groups (Cloud Intelligence Group, Taobao Tmall Commerce Group, Local Services Group, Cainiao Smart Logistics, Global Digital Commerce Group and Digital Media and Entertainment Group). Each group will have its own CEO and board of directors. Each will also be able to raise outside f

  • Intel Rallies After Saying New Server Chips Will Come Sooner Than Expected

    (Bloomberg) -- Intel Corp., the biggest maker of computer processors, surged 7.6% after announcing that new products for the lucrative server market will come sooner than expected.Most Read from Bloomberg$52 Billion Chipmaking Plan Is Racing Toward FailureNew Yorkers Are Moving to These Three Florida Cities$335,000 Pay for ‘AI Whisperer’ Jobs Appears in Red-Hot MarketFBI Releases Files on Ivana TrumpScotiabank Economist Excoriates Trudeau, Freeland Over $32 Billion Spending BoostThe company will

  • Nvidia Stock Is an AI Winner, but How Much Higher Can It Go?

    The big topic at Nvidia’s (NASDAQ:NVDA) recent GTC event concerned the opportunity around AI, with the company stressing it is well-positioned to be at the forefront of this secular trend. The event came hot on the heels of the release of OpenAI’s ChatGPT-4, the improved AI bot trained on both images and text. And fittingly, at the event, NVDA’s CEO Jensen Huang sat down with OpenAI co-founder Ilya Sutskever to talk about all things AI. Needham analyst Rajvindra Gill logged in to get the lowdown

  • First Republic Bank is not currently looking for a buyer

    First Republic Bank is no longer actively looking for a buyer as potential suitors are concerned about the losses they'll have to add to their books with no government backup.

  • Intel says power-efficient Sierra Forest chip will be delivered in H1 2024

    U.S. chip giant Intel Corp said on Wednesday its first semiconductor for data center customers focused on power efficiency, Sierra Forest, would be delivered in the first half of next year, as it outlined a chip release schedule after prior delays. "It's been a challenging few years as we had introduced a lot of innovation but also a lot of complexity and our product release dates had pushed out," Intel Data Center and AI Group head Sandra Rivera told Reuters ahead of an investor event. Intel still dominates the markets for PC and server processing chips, with a market share greater than 70%, tech research firm IDC has calculated.

  • Top Dividend Stocks for April 2023

    This month's list of top dividend stocks consists of Latin American oil and gas companies like Petroleo Brasileiro S.A. Petrobras (PBR) and Ecopetrol SA (EC), as well as Israeli shipping firm ZIM Integrated Shipping Services Ltd. (ZIM). Dividend-paying companies tend to be well-established, with stable earnings and a track record of distributing a portion of them to shareholders in the form of cash or additional stock. One useful measure to gauge the sustainability of a company's dividend payments is the dividend payout ratio (DPR), which measures total dividends divided by net income.

  • ‘Show me how … so I don’t go to prison’: Real estate guru Grant Cardone weighs in on new method to invest in real estate. Plus two simple ways to build your real estate portfolio

    The verdict? The future is virtual.

  • Disney's Florida surprise: an end run around DeSantis

    Florida lawmakers passed a bill in February giving Governor Ron DeSantis effective control over a board that oversees municipal services and development in a special district that encompasses Walt Disney World resort. But before the takeover by DeSantis's appointees, Walt Disney Co pushed through changes to the special tax district agreement that limit the board's action for decades, according to the Orlando Sentinel, which quoted lawyers for the board who spoke at a meeting on Wednesday. "It completely circumvents the authority of this board to govern," board member Brian Aungst Jr. was quoted as saying.

  • Vanguard: Retirees Can Add at Least $100k to Retirement Savings By Doing This

    Approximately 80% of all Americans aged 60 and older are homeowners, and housing wealth accounts for about 48% of the median wealth of that group. As retirees near large cities, and strong housing markets, start retiring, they realize they can … Continue reading → The post Vanguard Says Retirees Can Add at Least $100k to Retirement Savings By Doing This appeared first on SmartAsset Blog.

  • The World’s Most Important Oil Price Is About to Change for Good

    (Bloomberg) -- After years of wrangling, the world’s most important oil price is about to be transformed for good, allowing crude supplies from west Texas to help determine the price of millions of barrels a day of petroleum transactions.Most Read from Bloomberg$52 Billion Chipmaking Plan Is Racing Toward FailureNew Yorkers Are Moving to These Three Florida Cities$335,000 Pay for ‘AI Whisperer’ Jobs Appears in Red-Hot MarketFBI Releases Files on Ivana TrumpScotiabank Economist Excoriates Trudeau