Apple is opening its first store in Malaysia next month, marking a significant step in its Asian expansion amid rising competition with rival China and weaker iPhone demand.
The company first mentioned the store opening on its Malaysian website, mentioning its debut on June 22 at The Exchange TRX mall in Kuala Lumpur. However, no further details were disclosed.
Apple's Flagship Store
Apple operates flagship stores in Singapore, Thailand, and India. It inaugurated its first stores in Mumbai and Delhi a year ago as a crucial manufacturing center for the iPhone, aiming for significant sales growth in the future. Although Apple does not manufacture iPhones in Malaysia, it does produce certain Mac models locally.
Apple's Strategy Amid Rising Competition and Sluggish Sales
Apple's decision to open a store in Malaysia is part of its broader strategy to increase sales in Asia beyond China. Recently, it has faced challenges with increasing competition from local companies, particularly Huawei. Across much of Southeast Asia, Apple competes with Chinese companies such as Xiaomi and Oppo alongside its primary rival, Samsung.
According to Q1 data from Canalys, Apple did not rank among Malaysia's top five smartphone vendors. However, the company held the fourth position in Thailand and Vietnam, with 14% and 18% market shares, respectively. Apple's iPhone sales experienced a 10% decline in its fiscal Q2, ending on March 30, amounting to $46 billion. Revenue from Greater China declined by 7.9% to $16.4 billion. Meanwhile, sales in Asia, excluding China and Japan, decreased 17.6% to $6.7 billion. This region constituted only 7.4% of Apple's total sales.
Luca Maestri, Apple's CFO, said they anticipate low single-digit year-over-year growth in total company revenue for the June quarter despite facing a foreign exchange headwind of approximately two and a half percentage points.
Apple's Malaysia Store Has Been Long Kept A Secret
As part of its intensified efforts in Southeast Asia, Apple is set to inaugurate its first store in Malaysia next month, at Kuala Lumpur's The Exchange TRX mall. The store was initially slated for a February opening but postponed to June 22.
Rumors about an Apple Store in Kuala Lumpur have circulated for years. When a remarkable building was unveiled as part of the city's new Exchange TRX shopping center, many speculated that this would be the location. That theory was substantiated late last year when Apple signage was spotted and recorded before it was swiftly removed.
This month, Apple has now officially confirmed that the building will be its newest retail store, slated to open on June 22, which reads:
Apple The Exchange TRX
Opening June 22 at 10 a.m.
We are getting ready to open our first Apple Store in Malaysia. We can't wait to see you. Jom!
L1.40 The Exchange TRX
Persiaran TRX, Tun Razak Exchange
55188 Kuala Lumpur
The Malaysia Shopping Mall Instagram account also features some photos.
