According to an Apple Corporation report, in the first quarter of 2024, its smartphone sales in China plummeted by a record 13%, catching experts and market participants off guard. However, reality turned out to be grimmer than predictions. Citizens of China are reluctant to purchase new Apple gadgets, leading to a noticeable decline in the company's revenues, and its prospects are looking less than promising. According to Apple's data, in the first quarter of the 2024 fiscal year, its product sales in China fell by 13%. During the reporting period, the company sold $20.8 billion worth of products. Economists estimate that this sales drop is the most significant since 2018. Analysts surveyed by Bloomberg believe that the IT giant may lose its influence in the Chinese market. This is a dangerous situation because China accounts for a fifth of Apple's sales. Notably, after the publication of this report, the company's Nasdaq-listed shares dropped by 2.15% to $182.85 per share. Currently, the Chinese market is the third-largest in terms of sales for Apple. According to Tim Cook, the company's CEO, the management remains optimistic about China in the long run. Jefferies analysts estimate that in the first week of 2024, iPhone sales in China crashed by 30% compared to the same period in 2023. Yet, over the entire last year, the sales decline was 3%. However, despite the low demand and increasing competition, the company is not disheartened. To stimulate purchases, Apple has reduced the prices of its latest iPhone models by 500 yuan ($70). Previously, Bloomberg reported that Chinese authorities might ban officials and employees of state-owned companies from using iPhones. Such measures could devastate the gadget market and cause tremendous damage to the American corporation of $194 billion. However, Mao Ning, a spokesperson for China's Ministry of Foreign Affairs, later stated that the authorities did not prohibit the purchase or use of foreign mobile brands in the country.