Report – Apple still considering Tesla for acquisition image

Another day, another report about Apple getting in the automotive business, and this time we’re treated to the old rumor of the Cupertino giant tapping into the Elon Musk well of entrepreneurship by acquiring Tesla Inc.

We’ve heard this from fans, specialists and more – Tesla and Apple should be as one, instead of swapping employees or potentially becoming competitors in the near future. Apple has been rumored to be joining the automotive party in full – not just with CarPlay – for quite some time now, mostly thanks to the very secretive ‘Project Titan.’ Apple has now started official tests of autonomous vehicles in California and even has its own energy division – though according to the latest reports instead of rivaling Tesla they would most likely go out on a limb and buy it all. And Apple has the means to do it – since they are sitting on a pile of cash, $250 billion in free cash to be more precise.

According to the latest report though, Tesla is not the only company in Apple’s view – other takeover targets are Netflix, Hulu, Electronic Arts, Activision Blizzard, Take Two Interactive Software, and Walt Disney. “Since one of the new administration’s top priorities is to allow US companies to repatriate overseas cash at a lower tax rate, Apple may have a more acute need to put this cash to use,” comments Jim Suva, an analyst for Citigroup. President Donald Trump’s new proposed taxation plan would see the current 35-percent repatriation tax lowered to just 10 percent and companies would try to take advantage while it lasts.

Via Reuters