Cook says that Apple buys companies to overcome obstacles, and not to limit competition.
Apple’s CEO Tim Cook denies purchasing companies to stop competition but to overcome obstacles. After Cook appeared in front of the Antitrust Subcommittee last Wednesday, there are a lot of the company’s business practices to have been questioned.
“If you look at the things behind the investigation, the things are acquisitions, and if you noticed, we didn’t get any questions on acquisitions because our approach on acquisitions has been to buy companies where we have challenges, and IP, and then make them a feature of the phone,” said Apple’s CEO Tim Cook.
Apple is not the only one in question but also Facebook, Google, and Amazon. There are some company acquisitions that appeared to end the competition. Facebook was questioned by purchasing Instagram and Amazon for Diapers.com.
Apple’s biggest company acquisition was last 2014, the $3 Billion Beats By Dre, which leads to the creation of Apple Music. The Beats still exists within Apple and competes directly with the company, particularly Airpods.
“An example of that was Touch ID,” Cook continued. “We bought a company that accelerated a Touch ID at a point.”
Apple purchases many companies every few weeks. They just don’t always publicly announce such acquisitions.
Tim Cook Joins The Billionaires Club
And according to Bloomberg’s reports, Cook’s recent net worth was calculated using the market performance and regulatory filings.
Before Tim Cook was appointed as the new Apple CEO, the company was valued at roughly $350 billion, and the company has grown substantially under his leadership. Most of the reasons for his access are from the stock awards given to him when he took over in the Apple reign.