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Apple Officially Opens CNY300 Million R&D Center in China

| Oct 06, 2016 10:48 PM EDT

Apple's planned research and development facilities in China will reportedly focus on development of hardware and advanced technologies.

After being announced in August, Apple's first research and development facility in China has finally been established with the total investment amounting to 300 million yuan, China Tech News reported.

Apple R&D (Beijing) Co. Ltd, located in Zhongguancun Chaoyang Park, will be teaming up with Chinese universities and other local partners to boost the country's talent pool. While Apple's iPhone line is manufactured in the country, the Chinese government is looking to fuel its economy by moving to advanced technologies.

Meanwhile, the Wall Street Journal said that the center will focus on hardware development. Gathering information from the Zhongguancun Science Park Administrative Committee, the WSJ reported that the center will target advanced technologies such as audio & video equipment, as well as computer hardware and communications.

This move by the Cupertino, California-based company comes on the back of its mounting legal issues in China and is seen as an attempt to maintain an amiable relationship with the country, one of the world's largest smartphone markets.

Apple's planned R&D facilities will likely boost the Chinese economy and create jobs, with about 500 new personnel expected to be employed by the center.

Locating an R&D arm in China will also enable Apple to adapt to the local taste.

"Apple's competition with local phone makers would inspire designs suited to the China market," wrote the WSJ.

In August, the company's CEO Tim Cook hinted at Apple's R&D plans in China, although no specific details were revealed.

The new facilities are just one of the tech giant's recent investments in China. The company had splurged $1 billion on ride-hailing service Didi Chuxing earlier this year, with Cook saying that Apple is "[learning] more about certain segments of the China market."

"Of course, we believe it will deliver a strong return for our invested capital over time as well," Cook told Reuters in an interview.

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