Reuters: Technology News: Apple eyes new stores in two Chinese cities as iPad suit continues

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Apple eyes new stores in two Chinese cities as iPad suit continues Jun 6th 2012, 06:02 Tweet Share this Email Print Related News Apple assembly plant conditions still harsh in China-activists Thu, May 31 2012 Apple CEO sees TV as area of "intense interest" Wed, May 30 2012 Samsung Galaxy S3 gets head start on rival iPhone Tue, May 29 2012 Apple readies iPhone with bigger screen: sources Wed, May 16 2012 Apple, supplier Foxconn to share costs on improving factories Thu, May 10 2012 Analysis & Opinion The Kennedys and Caro, Facebook IPO suits, the Edwards trial judge Samsung investors should worry less about Apple A man lines up to collect his pre-ordered new iPad outside an Apple store in Hong Kong March 16, 2012. Credit: Reuters/Tyrone Siu SHANGHAI | Wed Jun 6, 2012 2:02am EDT SHANGHAI (Reuters) - Apple Inc is looking to open flagship stores in the major Chinese cities of Chengdu and Shenzhen, government officials said on Wednesday, while it continues to fight a Chinese company over the use of the iPad trademark. Opening stores in Shenzhen and Chengdu will be a big boost for Apple's China business, which currently has only five stores on the mainland, three in Shanghai and two in Beijing. In April, Apple reported quarterly profit that almost doubled after a jump in iPhone sales, particularly for the greater China region. But the possibility of selling iPads in Shenzhen could lead to more legal action after Roger Xie, a lawyer for Proview Technology (Shenzhen), told Reuters that if Apple tried to sell the popular tablets there, Proview would seek an injunction to stop them. Apple and Proview are battling it out in the Higher People's Court in Guangzhou over the right to use the iPad trademark, which Proview contends it owns. Xie said both sides are currently undergoing court-mediated negotiations. Apple's flagship stores are normally packed with people tinkering with the latest iPad or iPhone and its product launches draw huge crowds. But the company faces the problem of unauthorized re-sellers in less wealthy cities selling smuggled imports of its products. Apple also faces a huge amount of piracy, a problem so pervasive in China that even entire fake Apple stores have been created where employees thought they actually worked for Apple. Apple submitted documents on Monday to the Shenzhen government to open a store in Holiday Plaza, an upscale mall in the Nanshan district, according to an official with the Market Supervision Administration who would only give his last name as Ni. "Apple is in the final stage and only needs to submit an environmental permit in order to gain approval," he said. In Chengdu, in southwestern China, Apple received approval in late May to set up a business unit to handle retail sales and after-sales service, according to an official with the Chengdu Industry and Commerce Administration bureau. An Apple spokeswoman declined to comment. Apple's China website showed that the company was hiring Apple Store sales staff in Chengdu and Shenzhen. (www.apple.com/jobs/cn/) (Reporting by the Shanghai Newsroom and Melanie Lee; Editing by Matt Driskill) Related Quotes and News Company Price Related News Tweet this Link this Share this Digg this Email Reprints We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (0) Be the first to comment on reuters.com. Add yours using the box above.

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