Just a few weeks ago there was some talk on Wall Street about a possible Apple/Disney merger. Now it seems that talk has picked up some steam and it’s possible that Apple really might buy the Walt Disney Company. According to Variety Apple just might be able to come up with the $200+ Million it would take to buy Disney, creating the biggest technology-media conglomerate the world has ever seen.
Investors seem to be on-board with the idea and have increased expectations that a deal could happen. The tech giant Apple is searching for content to be able to stream across it’s diverse array of platforms, and Disney would provide just that. It instantly would become a huge competitor to Netflix and all other streaming media services.
The price will not be cheap however. Investors would want a 40% share which means that Apple would have to come up with roughly $237 Billion in cash. However, since most of Apple’s cash is off-shore, they will need help from Uncle Sam if it’s going to become a reality. They would need U.S. regulators to give it a “tax holiday” in order for Apple to be able to pay a lower tax rate to use those funds in an acquisition of Disney.
If they can’t come up with all that cash it’s also possible Disney would try to spin of ESPN or even the Theme Parks to make an acquisition more feasible.
What all this would mean for the Theme Parks is still uncertain. It would mean a boost in technology used throughout the parks, but the overall way they are developed and run could change for better or worse. I’m not sure I would like this move however. Things are moving in such a positive direction right now in Walt Disney World and in all the properties around the world, I don’t want anything potentially rocking the boat.
Again as of now it’s all speculation and often these kinds of talks never lead to anything, but it’s sure making it interesting for all of us and we’ll be intently watching to see what else develops…
Your Thoughts:
I want to know what you think that potentially Apple is Closer to Buying Disney. Would this be a positive move for Disney and it’s fans? What kind of affect do you see it having in the parks? Let us know in the comments section below!
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News Credit: Variety
My name is Ziggy and I love Disney, everything Disney! I grew up on Disney and it has and continues to be a huge part of my life. I started young when my parents took me to Disney World when I was 18 months old. Little did they know that would be the first of an uncountable number of trips we would take. I have so many amazing memories going to Disney with my family and friends and it has been interwoven into my DNA.
Giulio
Friday 14th of April 2017
I don't like this idea. I like how Disney is known as an independent company. Don't get me wrong, I love Apple but this merger just doesn't feel quite right!
Ziggy
Tuesday 18th of April 2017
I'm with you on that. I don't like the idea of outsiders coming in and taking control over something they know nothing about..
Ken
Friday 14th of April 2017
Doesn't quite make sense that Apple would spend all (or a significant portion) of its cash on one company without whom they have many significant, pre-existing business relationships.
More than 25% of Disney revenue is from Parks & Resorts, is Apple really interested in that segment? If Apple wants Disney content, they can negotiate with them for licensing agreements. If Apple isn't willing to pay what Disney wants for content, why would we think they'd be willing to pay a premium for the entire operation, including things that really don't play into their strengths??
Ziggy
Friday 14th of April 2017
Yeah you are right Ken! Some of it really doesn't make a whole lot of sense to me either. It might just be pure speculation on the part of these investors because Apple has a huge stash of money just sitting there. I'm a bit leery to have Apple just come in and start calling shots about the parks and everything, doesn't sit well with me.