Major companies are limiting their services to Russia and so is Apple. Apple halts sales in Russia temporarily. According to observers, Apple’s decision to stop selling devices in Russia puts pressure on other smartphone manufacturers to follow suit.
Apple announced on Tuesday, along with a slew of other moves in response to Russia’s invasion of Ukraine. All Apple items are labeled as “unavailable” for purchase or delivery in Russia on the company’s online Russian site. In Russia, Apple does not have any physical stores.
According to CCS Insight Chief Analyst Ben Wood, the decision “certainly” puts pressure on rival manufacturers like Samsung to follow suit. Samsung did not respond to a request for comment from CNBC right away.
According to Wood, the Cupertino-based tech behemoth is in a “strong position” to take the moves it has. “It’s a major player in the technological sector and one of the world’s most valuable firms.”
According to Counterpoint Research, the iPhone accounts for around 15% of the Russian smartphone market. Apple sold around 32 million iPhones in the country last year.
Apple Halts Sales Meanwhile Chinese Firms See It As An Opportunity
Apple’s actions in Russia are unlikely to have a substantial impact on the corporation, according to Wood. Because Russia isn’t a major market for the company. He explained, “Their business is so enormous that it’s quite resilient.” “Losing that revenue isn’t going to have a devastating effect on the company.”
Financial sanctions and currency volatility, according to tech expert and investor Benedict Evans, may have made it difficult for Apple to sell its products in Russia. When the Turkish currency plummeted in November, Apple halted sales in the country.
Ukraine’s deputy prime minister, Mykhailo Fedorov, called on Apple CEO Tim Cook to finish the job and restrict access to the App Store in Russia on Tuesday. On Wednesday, Putin encouraged Microsoft’s Xbox and Sony’s PlayStation to “temporarily disable all Russian and Belorussian accounts”. And discontinue supporting Russian markets.
As governments impose sanctions on Russia, businesses all across the world are fast withdrawing. As Western governments remove their assistance, Chinese companies such as Huawei and Xiaomi may be able to expand their presence in the country.