Apple’s Acquisition Pace Slows Significantly

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Apple ($NASDAQ:AAPL) has significantly slowed the pace of acquisitions over the past two years, spending roughly $200 million in fiscal 2021 and fiscal 2022, down from $1.5 billion in fiscal 2020, according to Bloomberg. The news outlet, citing regulatory filings, noted that Apple has made only two known deals this year, Credit Kudos and AI Music. Credit Kudos is an open banking credit reference agency, while AI Music helps generate customized music. Apple’s only known acquisition in 2021 was classical music app Primephonic, presumably purchased to enhance Apple Music. It’s unclear how this slowdown in acquisitions will affect Apple’s market share and earnings in the long term.

Market Reaction

Apple’s recent acquisition pace has slowed down significantly, according to a new report. After the news was released, media coverage was mostly mixed. On Monday, APPLE stock opened at $166.4 and closed at $164.9.

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Summary

According to a new report, Apple’s pace of acquiring smaller companies has slowed down significantly in recent years. The company has been under pressure to use some of that money to buy back stock or pay a dividend, rather than hoarding it. CB Insights says the decline in acquisitions is “likely deliberate” on Apple’s part, as the company looks to focus on integrating the companies it has already bought. Apple has a reputation for being a tough negotiator in acquisitions, often leading to protracted deal talks. The slowdown comes as Apple’s stock price has come under pressure in recent months. Mixed news On the one hand, it’s a sign that the company is being more disciplined with its spending. On the other hand, it could be a sign that Apple is having trouble finding attractive acquisition targets.