China plans to expand ban on public iPhones

China is considering expanding its ban on iPhones in the workplace to include state-owned companies and enterprises. China plans to expand its ban on iPhones in government agencies to include state-backed agencies and state-owned companies. People familiar with the matter confirmed the Wall Street Journal report on the ban on iPhones in government, according to Bloomberg, and said some institutions have begun instructing employees not to bring their iPhones to work. The sources said Beijing plans to extend the restriction much more broadly to state-owned enterprises and other government-controlled entities. If implemented, the unprecedented ban would be the culmination of years of efforts to root out the use of foreign technology in sensitive environments and coincide with Beijing’s efforts to reduce its reliance on American software and circuits. It also threatens to erode Apple’s position in a market where it generates about a fifth of its revenue and makes most of the world’s iPhones through vast factories that employ millions of Chinese. It’s unclear how many companies or institutions could impose restrictions on personal devices, the sources said, and there are no official or written injunctions yet. Government firms or agencies are likely to vary in how strictly they enforce such bans; some could ban Apple devices from the workplace, while others could ban employees from using them altogether. Chinese state-owned firms, such as oil giant PetroChina Co., employ millions of people and control a large part of the centrally planned economy. Apple “has historically been viewed as relatively safe from government restrictions in China,” given its relationship with Beijing and its importance to the economy, KeyBanc Capital Markets analyst Brandon Nispel said in a report Wednesday.