When Google decided it would stop complying with Chinese censorship, it cited a cyber attack originating in that country. “What at first appeared to be solely a security incident . . . was something quite different,” Google wrote. Five years later, most Googleservices remain blocked in China.
Apple experienced a significant cyber attack in China this week – bad timing, as the iPhone 6 just went on sale there. Apple has disclosed few details. The attack was serious enough that Tim Cook met a vice premier on Wednesday to discuss “protecting user information”, as the state news agency puts it. (He even wore a tie for the occasion.) It’s the latest of many setbacks, including state media campaigns against Apple and a delay in the iPhone 6 release. China is crucial for Apple: it accounted for more than a third of revenue growth in the last fiscal year. Without China, sales growth would have been below five per cent in five of the last six quarters.
Most companies blocked in China are in the information-sharing business (Twitter, Facebook). Apple’s position may appear simpler because it makes hardware. A seller of, say, fibre optic cable to China would not be accused of abetting violations of privacy, even if the calls and emails passing through that cable were monitored.