Apple had a secret deal with the Chinese government that allowed the company to make billions of dollars in China while avoiding the country's strict technology regulations, a new report says.

Apple CEO Tim Cook has been making extensive efforts to create strong relationships between the technology company and Chinese government officials, having brokered a five-year nonbinding $275 billion "memorandum of understanding" that included "a pledge to help Chinese manufacturers develop 'the most advanced manufacturing technologies and 'support the training of high-quality Chinese talents'" in exchange for circumventing restrictions placed on the technology sector, according to The Information.

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Cook signed the agreement during the first of several visits to the country in 2016, pledging Apple would use more components from Chinese suppliers, sign deals with Chinese software firms, and invest "many billions of dollars more" than what Apple had initially intended to invest into China, the report continued. Some of these investments include putting $1 billion toward Didi Chiuxing, a Chinese ride-sharing startup, and expanding employee training in China.

These deals have allowed Apple to avoid certain legal limitations on its software. For example, Apple controls the encryption keys for iCloud user data in China despite the Chinese Communist Party's constant efforts to force tech companies to hand data access rights to the government. It has also forced Apple to adhere to Chinese requests to remove apps, including religious texts and Hong Kong map apps.

The agreement helped Apple avoid the fate of other Big Tech companies, such as Google and Twitter, which were blocked by Chinese officials for years due to their unwillingness to adhere to Chinese regulations.

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Apple has been expanding its market access, constantly reaching record profits quarter over quarter. The company reported in October that it made $14.6 billion in China last quarter, the highest profit margin in the region to date for the tech company. China currently represents 19% of Apple's total sales, four points up from last year.

Representatives for Apple did not respond to the Washington Examiner's request for comment.