I added the question mark because the original article in Slashdot did not. Life is about perspective and consequences:
Apple, a company that loves to talk about its values, has this week demonstrated that when it comes to China — one of its biggest markets and where most of its iPhones and other products are assembled taking full benefit of low-cost labors (sic) — even the Steve Jobs-founded company lacks a backbone. The company has bowed down to Chinese pressure and pulled an app from the Chinese App Store that helped pro-democracy protesters track cops to ensure their safety. Apple, a company with nearing $1 trillion in market cap, said the app “violates our guidelines and local laws.”
I would go with Apple lied. Nothing in Apple’s guidelines were violated. Nobody found a local law that was violated. The Chinese government did not want the app in China, and could cause Apple and a billion iPhone customers plenty of grief if the app stayed. What Apple did was pragmatic.