Rumors of Apple buying Netflix have started to circulate, with Tim Cook saying he won’t rule out a major acquisition.
Tim Cook Said that He Will Not Rule Out the Possibility of a Major Acquisition
Although there is no direct mention of Apple purchasing Netflix, as per the story by GizChina, with regards to the possibility, Tim Cook, the CEO of Apple, said that he will not rule out the possibility.
The company just recently announced its Q3 2022 earnings report, which allowed it to exceed the average expectations of the analysts. Cook said, in a conference call with investors, that he would not “rule out a major acquisition.”
The CEO was Asked About the Services Market
Cook, however, noted that the company would not make a big move without having a strategic plan. During the call, a question was directed to the CEO, asking him about the services market, which has seen tremendous growth each year.
The Apple CEO was then asked if the company would be interested in buying “outside products” in order to expand its services business further. As per the article, the question was geared to Apple’s “eventual acquisition of streaming giant, Netflix.”
Cook said that He is ‘Constantly Watching the Market’
Cook did not provide details regarding the strategy of the company but announced that Apple would be “constantly watching the market” in order to look for potential acquisitions. The CEO, however, claimed that the company wouldn’t buy a company in order to just increase revenue.
The CEO of Apple emphasized that the company will focus its energy on buying smaller companies while recruiting individuals that can “add energy to the company.” As per Cook, they are always looking and asking themselves whether a move is strategic.
This is Not the First Time Tim Cook was Asked About Potentially Acquiring Other Big Companies
The CEO stated that they would never buy just for the sake of buying or buying just for the purpose of increasing revenue. It was also mentioned that they have made scale comparisons indicating small IP as well as people acquisitions.
Cook also mentioned that he doesn’t rule out the possibility in the future, and he is still keeping an eye on the market. This, however, isn’t the first time that the CEO was asked regarding Apple potentially acquiring other big companies.
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Senior Vice President of Apple Gave an Explanation of Why Don’t Make Huge Acquisitions
In April, the company CEO announced that they are always looking for talent and will not rule out a large acquisition if it really does make sense strategically.
A lot of market analysts are coming forward saying they believe that Apple should buy companies like Peloton or Netflix. A 2019 article by Investopedia, however, tackled why Apple will not buy Netflix or Disney.
As per CNBC, Eddy Cue, the senior vice president of software and services at Apple, noted that the company has not made huge acquisitions. Investopedia included a quote by Gretzky stating, “skate to where the puck is going not where it is.”
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Written by Urian B.
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