Apple reveals its plans for its billions

Apple reveals its plans for its billions

What we wouldn't give to be a shareholder in Apple right now. More money than it knows what to do with - and now the Cupertino giant is beginning a dividend and share repurchase programme as it seeks to leverage its $100bn cash pile.

A cool $45bn will be spent on the programme over the next three years.

Apple's promising that innovation won't be something consigned to the past: “even with [our] investments, we can maintain a war chest for strategic opportunities and have plenty of cash to run our business,” said CEO Tim Cook.

“We have used some of our cash to make great investments in our business through increased research and development, acquisitions, new retail store openings, strategic prepayments and capital expenditures in our supply chain, and building out our infrastructure. You’ll see more of all of these in the future.”

The quarterly dividend will kick off in July and amounts to around $2.65 a share.

“The primary objective of [the repurchase program is] neutralising the impact of dilution from future employee equity grants and employee stock purchase programs” Apple said officially.

“Combining dividends, share repurchases, and cash used to net-share-settle vesting RSUs, we anticipate utilising approximately $45 billion of domestic cash in the first three years of our programs,” commented Apple finance chiefPeter Oppenheimer. “We are extremely confident in our future and see tremendous opportunities ahead.”

We're not suprised they have so much money. £699 for a SIM-free 64GB iPhone?!

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11 comments

coerce86  Mar. 19, 2012 at 20:18

They could probably create some kind of infrastructure to end poverty in a country with money like that...
Have to hate capitalism sometimes

garry_williams  Mar. 19, 2012 at 21:08

I guess Bill Gates came to the same conclusion ;-)

ipeters427  Mar. 19, 2012 at 21:19

how about adding micro sd slots to their products? wouldn't cost that much......

JanSt / MOD  Mar. 19, 2012 at 22:26

how about adding micro sd slots to their products? wouldn't cost that much......

That'd break their entire business model. Controlling the file system is vital if you want to control the content flow to and from the device. It'd be nice, yes. I'm not a fan of fixed storage at all. But Apple is Apple.

jmarcelino  Mar. 20, 2012 at 01:12

how about adding micro sd slots to their products? wouldn't cost that much......

That'd break their entire business model. Controlling the file system is vital if you want to control the content flow to and from the device. It'd be nice, yes. I'm not a fan of fixed storage at all. But Apple is Apple.


I love hearing that theory :-)

So Google doesn't have SD cards on their Nexus S or Galaxy Nexus phones because they also want to control content flow? Is this Google copying Apple's business model too? ;-)

Maybe there's another explanation... :)

JanSt / MOD  Mar. 20, 2012 at 02:44

how about adding micro sd slots to their products? wouldn't cost that much......

That'd break their entire business model. Controlling the file system is vital if you want to control the content flow to and from the device. It'd be nice, yes. I'm not a fan of fixed storage at all. But Apple is Apple.


I love hearing that theory :-)

So Google doesn't have SD cards on their Nexus S or Galaxy Nexus phones because they also want to control content flow? Is this Google copying Apple's business model too? ;-)

Maybe there's another explanation... :)


Similar but different. :p

jmarcelino  Mar. 20, 2012 at 10:53

It's really not.

I suspect we'll start seeing a lot more Android devices WITHOUT an SD card, in order to support ICS's (and tablet-only Honeycomb) unified storage model (apps and media/data sharing the same storage space) .

hard123  Mar. 20, 2012 at 12:03

RIM handsets have supported SD card slots since day dot and its safe to say that noone has got near their OS in a way that iOS, Android, windows and just about every other platform have been.

It's all about the benjamins,baby.

JanSt / MOD  Mar. 20, 2012 at 12:44

It's really not.

I suspect we'll start seeing a lot more Android devices WITHOUT an SD card, in order to support ICS's (and tablet-only Honeycomb) unified storage model (apps and media/data sharing the same memory space) .


Yes, but while we see those, we also see more Android tablets with full usb-ports. And multiple memory card support. So as with phones - where you have both models -, tabs go 2 ways: fixed internal-only, and multiple ways of expansion. Appl however go one way only. The Appleway.
Also: the Android devices without SD card support still have file managers and mass storage mode - you know,, for side-loading apps, and songs and so on... You need a jailbreak on iOS for that ;) Now come again, there is no difference?

jmarcelino  Mar. 20, 2012 at 13:27

JanSt, actually that's incorrect, Android devices without an SD card don't have mass storage mode, they use Media Transfer Protocol (MTP).

You can drag and drop media (music, videos, photos, texts, notes, etc) to iOS using something like iPhone Explorer, which makes it a very similar experience as Android with MTP. Windows doesn't need an application for MTP because it comes with the system, but that's not true for any other operating system.

So there isn't much difference between iOS and Android with MTP re access to the filesystem. The only difference is you can't install unsigned apps on iOS, but other media is fine.

JanSt / MOD  Mar. 20, 2012 at 14:02

Thanks for the correction :)

That still leaves the fact that a lot of the Android tabs that actually sell, do have sd card expansion... Plus USB/usb-otg plus, in some cases, multiple card slots (Toshiba e.g.)...
And I do suspect that makers of Android tabs w/out sd expansion are simply cheap b*ggers, while Apple are cheap b*ggers with a plan. One that happens to work...

But hey, I may be completely wrong, in which case you are righter... :)

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