4 ms·
you are right that most companies should have a rainy day fund, but tech companies like Apple are way way way past a rainy day fund. Apple is sitting on US trea
by rjkennedy98 7y ago
you are right that most companies should have a rainy day fund, but tech companies like Apple are way way way past a rainy day fund. Apple is sitting on US treasury department level money.
- mrosett 7y agoEach month, the US treasury spends close to 4x (~$370 billion) the stockpile of cash that Apple has accumulated over decades ($100 billion.) It's a whole different level.
- rumanator 7y agoI'm not sure you got the point. The argument has nothing to do with the absolute amount of cash an organization amasses. The whole argument is about organizations building up economic reserves that enable them to endure long periods of recession or market downturn or a bad product launch or an earthquake. Some companies might have more cash than most states, but the same argument holds if a fruit vendor stocks up a few thousand euros that enable them to remain in business during a disaster.
- novok 7y agoApple almost died in the 90s, and that organizational trauma persists to this day. That is probably partly one reason why they amassed so much cash, and why they don't pay as well as other SF bigtech companies.