Apple CEO Tim Cook Meets with President Jokowi in Indonesia to Discuss Investment Opportunities

Apple CEO Tim Cook meets Indonesian President Jokowi, discusses potential investments, including manufacturing Apple products in the country, expanding developer academies, and establishing an innovation center.

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Apple CEO Tim Cook Meets with President Jokowi in Indonesia to Discuss Investment Opportunities

Apple CEO Tim Cook Meets with President Jokowi in Indonesia to Discuss Investment Opportunities

Apple CEO Tim Cook met with Indonesian President Joko Widodo (Jokowi) at the presidential palace in Jakarta on Wednesday, April 17, 2024. The meeting was part of Indonesia's efforts to attract investments and attention from major players in the information technology industry.

During the meeting, which lasted about an hour, Cook and Jokowi discussed several key points related to Apple's potential investment in Indonesia. These included the possibility of manufacturing Apple products in the country, as the market is open and there is an opportunity to add value. The Ministry of Industry has already agreed on the process of establishing Apple's manufacturing in Indonesia, starting with using components that can already be produced domestically.

The Indonesian government sees the country as a potential component supply chain for the global technology industry, similar to Vietnam and China. President Jokowi requested that Tim Cook increase the number of Apple components manufactured in Indonesia to boost the added value. He also requested that Apple's investment go beyond just the Apple Developer Academy and explore the possibility of establishing an innovation center in collaboration with top universities in Indonesia.

Cook expressed that Indonesia is an important market for Apple and that the investment potential in the country is endless. He announced that Apple will expand its developer academies in Indonesia to four, with a new facility on the island of Bali. Apple has already invested in setting up app developer academies in the country since 2018, with a total cost of 1.6 trillion rupiah ($99 million).

Why this matters: The visit highlights the growing importance of Indonesia as a technology and investment destination, as well as the country's efforts to attract major global companies like Apple to contribute to its economic development. Indonesia has a young, tech-savvy population and is seen as a key target market for tech-related investment in Southeast Asia.

According to the Minister of Industry, Agus Gumiwang Kartasasmita, mobile phone production in Indonesia reached 49 million units in 2023, with 85% of the 2.79 million imported units being Apple products. The government is interested in creating more local added value by encouraging Apple to establish manufacturing facilities in Indonesia. If Apple decides to build a factory, it could have the capacity to produce for export.

Key Takeaways

  • Apple CEO Tim Cook met with Indonesian President Jokowi to discuss investment.
  • Talks focused on manufacturing Apple products in Indonesia, expanding developer academies.
  • Indonesia sees itself as a potential component supply chain for tech industry.
  • Apple to expand developer academies in Indonesia, including a new facility in Bali.
  • Indonesia aims to attract major tech companies like Apple to boost economic development.