Apple will open its first data center in southwest China, in response to a new Chinese law that requires companies to store data within its borders. The data center, which will be operated in partnership with a local data management company, is part of a $1 billion investment Apple will make in the Guizhou province. Amazon, Facebook and Microsoft have built data centers in Germany, France and the Netherlands among other countries for technical reasons and in response to security concerns of governments and customers. Continue reading Apple to Open New Data Center in China With Local Partner

Apple’s 13-year run of quarterly revenue growth has come to an end; the company reported that revenue for its second fiscal quarter, ending March, declined 13 percent to $50.6 billion. The reasons are many: its huge size makes sustained momentum difficult; it has suffered setbacks in China, its second largest market; it lacks a hot new product; and, with iPhones accounting for half the smartphones in the U.S., phones have likely reached a saturation point. Sales of iPhones fell 16 percent in Q1 2016 compared to the same quarter last year. Continue reading Apple’s Growth Stalls, China Shutdown Could Signal Trouble

A federal appeals court has upheld an earlier ruling that determined Apple conspired with publishers to raise digital book prices. The U.S. Court of Appeals for the Second Circuit voted 2-to-1 in agreement of Judge Denise Cote’s 2013 decision when the case originally played out in the U.S. District Court in Manhattan. Apple and five publishers had been accused by the Justice Department of conspiring to increase prices above Amazon’s standard for new e-books through an ‘agency pricing’ model. The publishers settled prior to the trial, but Apple opted to fight the accusation. Continue reading Appeals Court Agrees That Apple Conspired on E-Book Pricing