To unpack your #1 statement. Lets say that Apple makes their hardware and then ships it out of China. China makes money, gets some jobs out of it, some tech kno

To unpack your #1 statement. Lets say that Apple makes their hardware and then ships it out of China. China makes money, gets some jobs out of it, some tech knowhow etc. China has no reason to stop that. Now, apple's desire to sell devices in china that comply with chinese laws (which potentially compromise user privacy) is a separate issue altogether. Business wise, I don't think they can afford to avoid china altogether. So maybe they can simply say that "they're doing the best they can" and take the PR hit.