The iPhone 16 could be coming to Indonesia—for a price

Imagine looking on in envy as the rest of the world gets to enjoy Apple’s latest iPhone—the iPhone 16—while you can only look in from the outside. That’s a situation that Apple fans in Indonesia are experiencing. But that “nightmare” may soon be over as Apple’s iPhone 16 could finally go on sale in Indonesia—though at a massive cost to Apple.

When the iPhone 16 went on sale last year, the Indonesian government banned the sale of the models. This is because Apple had apparently failed to meet some of its investment commitments in the country. The company had reportedly pledged $109 million ($1.71 trillion rupiah) for investments in Indonesia’s infrastructure and local sourcing. However, they fell short at around roughly $95 million ($1.48 trillion rupiah).

To fix things, Apple tried to go big—offering a staggering $1 billion in additional investments. But even that wasn’t enough. Indonesia’s investment minister, Rosan Roeslani, rejected the offer, demanding more. Now, the government wants Apple to build R&D training facilities and even set up a manufacturing plant on Batam to produce accessories like the AirTag.

That’s a massive ask, one that could cost Apple far more than expected. But pulling out of Indonesia entirely isn’t a great option either. With over 270 million potential customers, Apple stands to lose far more if future iPhones also get banned. The company now faces a tough choice—pay up or risk losing one of the world’s largest markets.