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This is interesting because I was just exploring this idea around how all companies eventually just become banks. The example I was thinking about though was GE
by dev1n 8y ago
This is interesting because I was just exploring this idea around how all companies eventually just become banks. The example I was thinking about though was GE Capital. GE started out making stuff, then they became a bank. General Motors started out making cars, then they became a bank. Many more companies have venture arms which act like banks on a more intimate level. But still..
This makes sense as there are only so many macbooks, iphones, cars, generators, lightbulbs, etc.. to sell. Selling money is much much more lucrative.
- martin_bech 8y agoPlease name any bank thats more lucrative than Apple.
- martin_bech 8y agoI have no idea why im beeing downvoted, im directly replying to the parent post which claims “This makes sense as there are only so many macbooks, iphones, cars, generators, lightbulbs, etc.. to sell. Selling money is much much more lucrative.” Im pretty sure, that no bank is in the same profit/lucrative league as Apple.
- anitil 8y agoWhile your point may or may not be correct, it was probably the tone of the comment rather than the substance that people are responding to
- r00fus 8y agoPoint in fact: Braeburn Capital which is one of the largest hedge fund (if not largest outright) in the world by assets under management.
- martin_bech 8y agoBraeburn Capital is owned/created/run by Apple.
- martin_bech 8y agoBtw. A Hedgefund is not a bank.
- r00fus 8y agoAgreeing with your point - Apple also owns the worlds largest hedge fund.
- cosinetau 8y agoMaybe its when they realize that in order to continue to grab deeper market share they need to optimize how their business is impacted by consumer's access to credit? The problem seems to fit because younger companies' concerns are about how their business is impacted according to consumers access to their product. Apple is almost everywhere here in the states. What else could be preventing other consumers/holdouts from accessing Apple's premier products?
- dev1n 8y agoThat's a good point. It would definitely remove the "I can't buy your product because I can't get credit for it" excuse which would open up a good chunk of a market. However I can't really see why Apple would want to "reach down" in terms of market demographics when looking at people with access to money. I would imagine they want to continue to reach "up" into markets with more and more money. With the release of the iPhone X I perceived Apple as trying to reach "up" rather than "down". Your point definitely explains this move if that is what Apple are trying to accomplish.
- mandeepj 8y agoDid not they already have Apple Pay to deal with money?
- scarface74 8y agoGE divested GE Capital. https://www.ft.com/content/a6b02fae-5051-11e6-8172-e39ecd3b86fc https://www.ft.com/content/a6b02fae-5051-11e6-8172-e39ecd3b8... A lot of companies have branded cards that are run by different companies. As far as I'm aware, most of them don't have any ownership stake in the companies that actually manage the credit card business. It seems like Apple is changing from a Barclay's card to another company.
- jeffbax 8y ago... which is now Marcus by Goldman Sachs