Unless it's China in which case they will not care about it!
Basically, it's as usual a financial calculation of what PR can brings vs what you can lose in the market.
And fanboys believe it's because they are the good guys.
They will probably comply with some backdoor in partnership with Five-Eyes NSA & GCHQ. This is just PR posturing to build consumer trust.
Same with their venture into CSAM in the west. China could ask Apple for the ML be applied to scan for political dissidents.
It's a slippery slope and the frog gets boiled every year.
It was about getting a slice of hugely lucrative pie of customer market.
Vaguely remember a charity used to have a thing where they'd auction off a dinner with Steve, then later Tim. Given time with a leader who has literally revolutionized supply chain in CN and a CEO who made Apple his own following the most notable CEO ever, going after various gotcha points would feel like a wasted opportunity. But think I'd have to ask why a company designed in California of the 1960s and 1970s doesn't have line in the sand policies when dealing with a genocidal government and perpetual backdoors in software and politics, but will take a move like this. Would hope for something more than a canned answer.