Apple analyst Ming Chi-Kuo has said that if the popular messaging app WeChat is banned from the App Store, it would have a negative impact on the sales of most Apple products in China.
In a note obtained by ‘Apple Terminal‘, Kuo says that WeChat is a “necessity” and removal or ban of the app could (at its worst) drop sales by 25 to 30% but would likely be only 3-6%. AirPods, Apple Watch, Mac and iPad sales could drop by up to 25%.
The analyst has reportedly advised investors to “reduce their holdings” of stocks of Apple. Apple Terminal says that “Apple is only required to remove WeChat from the App Store in the United States,… Kuo says iPhone sales would drop 3-6%, while other products only by 3% or lower”.