Apple to shift output to US
Source: Bloomberg News |
December 7, 2012, Friday
|
Print Edition
Print Edition
APPLE Inc plans to spend more than US$100 million next year on building Mac computers in the US, shifting a small portion of manufacturing away from China, the country that has handled assembly of its products for years.
"Next year we're going to bring some production to the US," Cook said in an interview with Bloomberg Businessweek. "This doesn't mean that Apple will do it ourselves, but we'll be working with people and we'll be investing our money."
Apple, which until the late 1990s made and assembled many products in the US, moved manufacturing to Asia to take advantage of the region's lower labor costs. The planned investment makes up a sliver of Apple's US$121.3 billion in cash, and probably won't meaningfully affect profit margins. Still, it reflects pressure on companies to create even a modest number of domestic jobs as the jobless rate hovers near 8 percent and the economy rebounds from the recession that ended in 2009.
"I don't think we have a responsibility to create a certain kind of job," Cook said. "But I think we do have a responsibility to create jobs."
While Cook didn't outline where the manufacturing would happen or how much would be produced in the US, he said the company will work with partners and that the operations would include more than just final assembly.
Many of the parts that go into the iPhone and iPad already are made in the US. This includes the display glass, which is made in Kentucky, he said.
Apple also has created jobs in the mobile-software industry through the introduction of the iPhone in 2007, he said.
"Next year we're going to bring some production to the US," Cook said in an interview with Bloomberg Businessweek. "This doesn't mean that Apple will do it ourselves, but we'll be working with people and we'll be investing our money."
Apple, which until the late 1990s made and assembled many products in the US, moved manufacturing to Asia to take advantage of the region's lower labor costs. The planned investment makes up a sliver of Apple's US$121.3 billion in cash, and probably won't meaningfully affect profit margins. Still, it reflects pressure on companies to create even a modest number of domestic jobs as the jobless rate hovers near 8 percent and the economy rebounds from the recession that ended in 2009.
"I don't think we have a responsibility to create a certain kind of job," Cook said. "But I think we do have a responsibility to create jobs."
While Cook didn't outline where the manufacturing would happen or how much would be produced in the US, he said the company will work with partners and that the operations would include more than just final assembly.
Many of the parts that go into the iPhone and iPad already are made in the US. This includes the display glass, which is made in Kentucky, he said.
Apple also has created jobs in the mobile-software industry through the introduction of the iPhone in 2007, he said.
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