Why Is the Chinese Government Out to Get Apple?

In recent weeks, state-owned media outlets in China have been bashing Apple  in a comprehensive smear campaign. The government might be trying to retaliate for a recent attempts by the U.S. government to ban telecom equipment purchases from ZTE and Huawei. Another possibility is that the government is trying to give China Mobile  more leverage in its negotiations with Apple, since the government indirectly owns 74% of China Mobile. The negative publicity is a risk factor, but CEO Tim Cook's recent apology has been well-received.

In the video below, Fool contributor Evan Niu, CFA, discusses the implications for investors.

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The article Why Is the Chinese Government Out to Get Apple? originally appeared on Fool.com.

Fool contributor Evan Niu, CFA, owns shares of Apple. The Motley Fool recommends Apple. The Motley Fool owns shares of Apple and China Mobile. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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