Apple opens its biggest research lab outside the US in China

Earlier this year, Apple announced plans to open a new research and testing lab in Shenzhen, China, with a focus on core products like the iPhone, iPad, and Vision Pro headset. The facility was set to launch in the second half of 2024, and it seems everything is on track.

Apple's biggest research lab outside the US has officially opened in China

According to a recent report from China, the new facility in Shenzhen opened on October 10, covering an initial area of 20,000 square meters (around 215,000 square feet).

The lab is expected to grow further as part of the Greater Bay Area economic development hub. It's set to employ over 1,000 professionals, both local and international, and will become Apple's largest research lab outside the US.

Shenzhen has long been home to many of Apple's key manufacturing partners in China, and the tech giant has been involved in R&D there since around 2017. The opening of this new lab comes at a time when Apple is shifting more of its production outside China to countries like India and Vietnam.

However, the company is facing rising competition in the Chinese smartphone market. Shenzhen-based Huawei has experienced a strong comeback, with its smartphone sales in August surpassing iPhone sales in China for the first time in nearly four years.

Plus, Apple dropped out of the top-five smartphone vendors in China in the second quarter, with its market share falling below 14%. Given this, I think it's no shock that the company is looking to strengthen its presence in China. As the world's largest smartphone market and with competition from domestic brands like Huawei heating up, Apple needs to ramp up its efforts to stay competitive in China.

In other Apple news, it seems the company is set for a strong year globally. Recent reports suggest that Apple is on track to surpass Samsung and claim the top spot as the world's leading smartphone maker in 2025. A big part of that expected surge comes from the upcoming iPhone SE 4, rumored to launch at just $499, along with solid sales of older iPhone models in emerging markets like India.