China will not just be Apple's country of choice for assembling their hardware. It will also be their new headquarters for researching and developing some advanced technology hardware.
The Zhongguancun Park Management Committee divulged details of the new research and development facility in China as Apple's first in the country. Zhongguancun is also known as "China's Silicon Valley" located in the Haidian District of northwestern Beijing.
Apple's first R&D center in China
Apple will invest a total of $45 million during the next few years to finish the center, according to the press release given by the Zhongguancun Park. It will also employ 500 people upon opening. For now, Apple has set $15 million as their register capital to start building.
Apple's resident landlord in China provided details of the new R&D facility in a social media post saying that the center will be used to develop advanced technologies that will not just focus on hardware and software. The center will also be used to research and develop better audio and video equipment, communication, and other devices.
China is one of the most vital markets of Apple. However, the company has struggled with plummeting sales over the last months. China even shut down the operation of several Apple services like their iTunes and iBooks early this year.
Optimizing local resources
During his visit to China last month, Apple CEO Tim Cook announced that the R&D facility will be ready by the year's end. Earlier, Apple is reported to make its new "home" at the Battersea Power Station in London to house about 1,400 employees. The new R&D centers follows Apple's lead on building similar facilities in several locations like the UK, Canada, Japan, Israel, Vietnam, Indonesia, and India to optimize their local resources.
Aside from Apple, the Zhongguancun Park is also known to house several global tech giants like AMD, Google, Intel, Lenovo, Microsoft, and Sony.
