4 ms·
As long as the cost is less than what apple makes from the watches annually, it would still be worth it, no?
by speedylight 3y ago
As long as the cost is less than what apple makes from the watches annually, it would still be worth it, no?
- ornornor 3y agoSometimes companies have poison pill provisions and similar that makes it veeeeery expensive to do a hostile takeover.
- dangus 3y agoExpensive for Apple? This is a $17 billion annual revenue product category for them. Masimo's market cap is $6 billion.
- prawn 3y agoI guess the consideration wouldn't be the value of whole product category, but related to changes to manufacture/schedule and changes to sales if they dropped that particular feature?
- ffgjgf1 3y ago> $17 billion annual revenue Only a proportion of that is net income > market cap is $6 billion. Even if > 50% enough stocks are on the market how much do you think Apple would end up paying $12 billion? $16? $20? $25? How many years would it take them to earn that back? You can’t really buy companies directly on the stock market, the price will just start going up exponentially. Also they’d be rewarding patent trolls which creates incentives for other companies to behave the same way so that Apple would acquire them
- niij 3y agoWhy annually?
- notatoad 3y agopulse oximeter isn't really an essential feature though. the value to apple is not the total value of the apple watch, it's the marginal difference from what they'd make from selling the watch with that feature disabled in territories where the masimo patent is upheld. which is probably pretty trivial