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Thursday, July 28, 2005, 10:00 am PT (01:00 pm ET)

Apple seeks retail space in China

Apple Computer is looking to expand its retail initiative to China, an overseas report says.

Earlier this week the South China Morning Post reported that the iPod maker is looking to open three outlets in heart of Hong Kong.

"Apple was eyeing locations for three stores of between 800 square feet and 12,000 square feet," the report says. No further information related to Apple was reported.

A 12,000-square-foot location in China would likely be considered a flagship location even though most US-based stores that fit the flagship profile are nearly twice as large.

Apple began considering a move into China over twelve months ago, as first reported in a Merrill Lynch research note from May 2004.

Also in the far east, Apple is looking to broaden its presence in Japan. The company recently began hiring for stores that will open later this year in Sendai and Fukuoka.