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Apple Hoards $15B—Why?

Fortune speculates on the tech giant's plans for cash wad

By Laila Weir,  Newser User

Posted Dec 7, 2007 5:00 PM CST

(Newser) – Regulatory filings reveal Apple has $15.4 billion stockpiled, leading to curiosity about its plans for the cash. The company itself hasn't offered much of an answer, but in its Big Tech blog, Fortune speculates Apple could acquire smaller companies, perhaps buying its way into a new area like social networking, though history suggests it won't be making any big acquisitions.

The company has given few clues apart from comments by the CFO that cash is useful for big projects and that "we do discuss share buyback and other forms of returning cash to the shareholders with the board from time to time." But Fortune suggests such measures would offer Apple little value while its stock continues to skyrocket.

Apple iPod Nanos are seen on display in San Francisco, Wednesday, Sept. 5, 2007. (AP Photo/Paul Sakuma)
Apple iPod Nanos are seen on display in San Francisco, Wednesday, Sept. 5, 2007. (AP Photo/Paul Sakuma)   (Associated Press)
A T-shirt logo is shown at the Apple Store West 14th Street in New York on Thursday, Dec. 6, 2007. (AP Photo/Mark Lennihan)
A T-shirt logo is shown at the Apple Store West 14th Street in New York on Thursday, Dec. 6, 2007. (AP Photo/Mark Lennihan)   (Associated Press)
Steve Jobs Kicks Off Apple's Worldwide Developer Conference
Steve Jobs Kicks Off Apple's Worldwide Developer Conference   (Getty Images)
Apple stockpiles cash
Apple stockpiles cash   (Getty Images)
Hundreds waited in the rain for the Apple Store to open their doors as Apple released the new Apple next-generation software, OS X Leopard, at the store at 59th Street in New York City Friday, October 26, 2007. (AP Photo/Craig Ruttle)
Hundreds waited in the rain for the Apple Store to open their doors as Apple released the new Apple next-generation software, OS X Leopard, at the store at 59th Street in New York City Friday, October...   (Associated Press)
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