These seem like valid arguments, however in the final analysis, the cost of giving better warranties, in exchange for better relations is worth it. It really didn't cost Apple anything, and the government attack dogs have been caged. Now there's a basis from which Apple and other non-Chinese manufacturers can negotiate how they will partner with the Chinese.
You may ask, why partner? isn't fair practice all the Chinese wanted? Well, no! The Chinese don't want Apple or Samsung in any kind of dominant position, period. What the Chinese really want is to be the dominant player, and they are determined to tip the scales in their favor one way or the other.
In my opinion, this is an early signs of desperation. It exposes a level of anxiety and internal pressures developing in China due to a slowing economy. They need to gain some advantage now, before the economy sinks further, when their leverage won't be so great.
-- Written by Ernie Varitimos, author of the Apple Investor blog.Follow @Conservatum This article was written by an independent contributor, separate from TheStreet's regular news coverage.
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