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I would imagine that this is the reason Apple likes to sit on a huge pile of money instead of giving it to investors. Any supplier that tries to put the hard wo
by demallien 16y ago
I would imagine that this is the reason Apple likes to sit on a huge pile of money instead of giving it to investors. Any supplier that tries to put the hard word on Apple knows that they risk Apple massively investing in a competitor to get another source for components. Apple already has all of the silicon design know-how in house, I don't think they would have trouble finding another supplier if Samsung decided to be difficult.
- jacques_chester 16y ago> I would imagine that this is the reason Apple likes to sit on a huge pile of money instead of giving it to investors. Most investors want share price growth, not dividends, because in general taxes on capital gains are lower than those on income. Stockpiling cash has a positive or neutral effect on share prices. Paying it out in dividends merely annoys those who would prefer the price to go up.