Netflix, meet Siri. According to Citi analysts Jim Suva and Asiya Merchant, there's around a 40 % chance that Apple will try to acquire the stream service giant.
Apple has about $252 billion in cash, much of it in foreign jurisdictions, which they will be able to repatriate about $220 billion to the U.S. under the Trump tax cut. The company would need only one-third of that to buy Netflix. Suva and Merchant ranked other potential Apple M&A targets in a note to clients sent in December. They mark Netflix as the company Apple would be most likely to buy.
Apple has always had an incentive to break into the TV and movie service, a la iTunes. The service has been a huge hit for the company, but viewers have since migrated increasingly to services like Netflix, Amazon, or Hulu to watch their favorite shows. Apple has recently dipped a toe into digital content creation with its upcoming debut scripted video series starring Jennifer Aniston and Reese Witherspoon, but does the tech giant have enough influence to bring viewers in? Well, if they buy Netflix they won't have to.
For more on Apple, check out their apology for slowing down iPhones.
