How Tim Cook’s Apple just became the accidental test case in a clash about capitalism – Business Insider

How Tim Cook’s Apple just became the accidental test case in a clash about capitalism – Business Insider

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Hello readers, and welcome to this week's edition of Trending, the newsletter where we highlight BI Prime's biggest tech stories. I'm Alexei Oreskovic, Business Insider's West Coast bureau chief and global tech editor. Before we dive in, a quick reminder that you can subscribe to Trending by clicking here. And if you neglected to give your boss a gift this holiday season, you can redeem yourself in her (or his) eyes by turning them on to this newsletter. This week: Apple is the first test case in a clash of philosophies about capitalism AP The showdown between Tim Cook and the FBI has been framed as a fight between privacy and security. But it's also a battle between two competing philosophies about capitalism. That became clear after Donald Trump lashed out at Apple on Tuesday, demanding that Apple "step up to the plate" to help unlock the iPhones used by the Pensacola, Florida shooter and reminding Cook that Apple had been spared some of the most painful tariffs. In other words, do what we ask of you, or your business will suffer.  In that sense, what's developing may be the first real test case of the universal ....

Recall that Cook was among the 200 corporate chieftains who signed a commitment in August declaring that a corporation's purpose is not simply to maximize profits for the benefit of stockholders. Companies also have a responsibility to serve stakeholders that include employees, customers and society.  Given that Cook has declared that privacy is a "fundamental human right, " this would seem to be an occasion where its commitment to a key stakeholder (society) is being challenged. But if Apple digs in and fights, the pain Trump can inflict — whether through tariffs in the still unresolved China trade war, despite today's Phase One signing, or in some other form — will undoubtedly hurt the company's bottom line, and by consequence, its stockholders. So who does Cook choose to fight for? It's not an unpredictable predicament for a company that takes an oath to serve different stakeholders, each with different interests. But I doubt Apple is thrilled to be taking the lead in settling this emerging debate. .

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