Indonesia Seeking a Bigger Bite of Apple

Apple CEO Tim Cook has announced that Bali has been chosen as the fourth location for an Apple Developer Academy in Indonesia. Quoted by and speaking during a visit to the Apple Academy in South Tangerang on Wednesday, 17 April 2024, Cook said he received many applications from people wishing to work at the Bali Academy. This location is attractive to both Indonesian and international workers.

Cook admires Bali and its rich reserve of creative workers, which helped in its selection as a Developer Academy location. Cook did not specify when the Bali Apple Developer Academy will be opened but pledged he would soon return to Indonesia.

The first Apple Developer Academy opened in Brazil, followed by additional academies in other locations, including South Korea, Indonesia, Saudi Arabia, Italy, and the USA. 

Unlike its three predecessors, the new Apple Developer Academy in Bali will accept international and local applicants regardless of their educational backgrounds and experience as computer programmers.

Tim Cook hoped the Apple Developer Academy in Bali would successfully help create new digital talent. More than 2,000 applications have been received to join Apple Developer Academies. 90% of those accepted have obtained initial positions in e-commerce and transportation, among other areas,

Apple CEO Tim Cook Confers with Indonesian President Joko Widodo

Cook continued, stating how a single line of computer code can change the world. Apple invests in skill development and creativity in Indonesia to allow dedicated individuals to play important roles in Apple’s global and Indonesian community. 

Apple’s CEO Tim Cook met with Indonesian President Joko Widodo at the National Palace on 17 April. Cook and the Indonesian President discussed Apple’s plans for Indonesia. Budi Arie Setiadi, Indonesia’s Minister of Communication and Information, commented that Indonesia wants to participate in the global supply chain regarding the exploration of Apple’s strategic plans. “Indonesia can also become part of the global supply chain,” said Budi after the meeting.

President Jokowi asked Apple’s CEO to increase the number of Indonesian domestic components used to create Apple Products. Only two components are currently made in Indonesia, compared to 72 in Vietnam.

In addition, discussions are underway regarding building a factory in Indonesia. For Indonesia, the advantage is increasing added value through locally produced components. In addition, the price of Apple Products can be lower because, if produced domestically, they would not be subject to import taxes.

Meanwhile, the Minister of Industry Agus Gumiwang Kartasasmita said Apple plans to add a fourth Apple Developer Academy as part of its investment in Indonesia. There are three Apple Developer Academies in Surabaya, Batam, and Tangerang, with a total investment value of Rp. 1.2 trillion. “They announced yesterday that they will add one more facility in Bali,”  Kartasasmita said. “So, Apple’s total investment will increase to Rp. 1.6 trillion.”

Agus said President Jokowi encouraged Apple to create domestic manufacturing factory facilities. He noted several Apple device components were now available in Indonesia. “Later, the Ministry of Industry will conduct a business matching process. “We already have a list of handphone components that have been produced in Indonesia that we might be able to match and supply,” he said.

Providing an overview of Indonesian handphone production, the national output of handphones in Indonesia stands at 50 million units, of which 2.8 million units (5.6%) are imported. 

Apple produces 85% of all imported phones imported to Indonesia at an import value of USD 2 billion.

The government has also invited Apple to help develop skilled workers by creating a center for innovation working in cooperation with Indonesia’s finest universities.

Agus continued, saying Apple could also create a smart city in Indonesia’s new Capital City (IKN). Cook responded positively to the invitation and the accompanying offer to assign Minister Luhut Binsar Pandjaitan the responsibility of coordinating Apple’s role in creating a smart city in East Kalimantan. 

Apple CEO Tim Cook also expressed his delight at the performance of the three Apple Developer Academies operating in Indonesia.” We are delighted with the performance of all three academies.

In response to the President’s invitation, Cook said he is considering the request to build an Apple manufacturing factory in Indonesia. He agreed that Indonesia is an important market for Apple and has a lot of good investment potential. “I think the investment capabilities in Indonesia are endless. I think there are a lot of great places to invest, and we are investing. We believe in this Country,” he said.

Cook also feels a strong affinity for Indonesian culture. Because of this, he sees investment in Indonesia as having a bright future. In 2016, Apple canceled its investment plans in Indonesia. However, now he believes in Indonesia. “In my opinion, investment in Indonesia will never end,” he said. 

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