Apple Loses $200 Billion in 2 Days

Apple's market value fell by nearly $200 billion after reports that China planned to extend a ban on the use of iPhones to government-backed organizations and state corporations.

Other Tech Stocks Fall Too

Shares of other tech companies like Qualcomm, Micron Technology, Microsoft and Nvidia also declined as fears of repercussions gripped the broader US technology sector.

China's Potential Ban Spooks Investors

The news of a potential ban by China spooked investors as they began selling off a variety of assets, including semiconductors, mega-cap technologies, and Chinese equities traded in the United States.

Apple Relies Heavily on China

Apple relies heavily on the Chinese market and infrastructure for production. But slumping demand for iPhones due to the prolonged real estate market crisis has hit Apple's revenue margins.

Apple's Woes Compounded

Apple's woes have been compounded by a rise in the US Treasury rates, as investors sell bonds on expectations that the Federal Reserve may have to up its battle against inflation.

CFPB Warns Apple Over Tap-to-Pay

Meanwhile, taking aim at Apple's exclusive tap-to-pay system, the top consumer watchdog in the United States cautioned tech companies against being unduly restrictive in providing access to payment applications.

CFPB Plans to Issue Open Banking Laws

The Consumer Financial Protection Bureau warned that Apple and Alphabet's Google Pay, which together control the vast majority of the mobile device tap-to-pay market, might limit final users' choice.

What's Next for Apple?

It remains to be seen how Apple will be affected by the potential ban in China and the other challenges it is facing. But the company is likely to face some tough decisions in the months ahead.