4 ms·
Oh right, what B schools call, 'extracting the economic rents'. It makes sense why they'd want to purchase ARM, but to pay for the price/future earnings of this
by autoditype 6y ago
Oh right, what B schools call, 'extracting the economic rents'. It makes sense why they'd want to purchase ARM, but to pay for the price/future earnings of this acquisition, I guess they'd need to increase the price of future licenses
- ksec 6y agoWhich wouldn't work, the whole ARM business Model has safe guards for their customers so they cant suddenly rise the price and extract as much as they could. ARM is a first and foremost a British Company, not very good at extracting every single ounce of profits like their cousins.
- laurencerowe 6y agoI’m not sure ARM could have grown to the point it has without those safeguards. If they were to extract every ounce of profit their customers probably wouldn’t have picked them. Their model has been far more successful than most of their contemporaries.
- wizzwizz4 6y agoBut it's slower. What about those quarterly profits‽