Apple's overseas cash reserves grow to the whopping $74 billion

Apple's overseas cash reserves grow to the whopping $74 billion
By now you probably already know that Apple is the world’s biggest company in terms of market value, but it’s also got the biggest overseas cash reserves of all US tech firms, holding the whopping $74 billion. That’s a huge increase from cash fortunes amounting to $64 billion in December and $35 billion at the end of 2010.

Interestingly, tech companies in the United States made up nearly half of all overseas cash reserves for US businesses, according to an estimate by Moody’s.

How did the rest do? Microsoft holds a massive $50 billion in overseas cash reserves, so it’s the obvious runner-up, followed by Cisco with its $42.3 billion. Rounding up the top five were Oracle and Qualcomm with $25.1 billion and $16.5 billion, respectively.

In the first three months of 2012, the overseas cash reserves grew by 31%, but if you count Appel out, this growth slims down to 15%. That’s how huge of an impact the company in Cupertino makes for the moment. Impressive, isn’t it?

source: Apple Insider

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35 Comments

1. KingShango

Posts: 89; Member since: May 16, 2012

Way to avoid paying taxes!

2. thebest

Posts: 231; Member since: Jul 08, 2012

actually, every tech company is making products in asia these days, so all the companies are avoiding taxes...........its the customers(like me) that made apple so rich....it has the best apps in the world, but i want few widgets for my iphone......apple, wanna make more money? then give us some widgets....make us more happy, we will make you more happy!!!!!!!!

3. Aeires unregistered

At a certain point it starts to be perceived as greed and overpricing.

4. paulyyd

Posts: 340; Member since: Jan 08, 2011

no bud, thats how it is run. It is a business. The only point is to make money

11. darkkjedii

Posts: 30672; Member since: Feb 05, 2011

Exactly if u look at it, apples no different than Pepsi, google, or boeing. Make the most money while having to shell out the least amount u can. Big business they're just really good at it.

13. Aeires unregistered

That's the same mindset that caused the banks to collapse. There's more to business than just building cash reserves.

14. EclipseGSX

Posts: 1770; Member since: Oct 18, 2011

aaaaaannddd then there's a line. 74 Billion?! Now what? World domination I mean come on.

23. gallitoking

Posts: 4721; Member since: May 17, 2011

if Google reaches that reserves amount. would you called them succesful or greedy as well?

24. Aeires unregistered

Hard to call someone greedy who offers so much free services. Not only that, I doubt Google will reach that level, they do business in a completely different manner than Apple does.

35. InspectorGadget80 unregistered

and why should u care on how much a company makes money? YOU'RE not even part of the company

5. xoutrageousx

Posts: 70; Member since: Dec 22, 2011

Greed? Overpricing? It's a business, everyone is fighting to be successful and survive in this economy. All companies stack up cash overseas, I bet if it was Samsung that had this pile of cash or any non apple company. Everyone would be saying, that's smart business but since it's Apple it's not smart business. I am not even a fanboy either I own devices with both iOS and Android.

6. remixfa

Posts: 14605; Member since: Dec 19, 2008

thats what happens when you have a president that keeps trying to force new taxes down everyone's throat (Obamacare has 10 new business taxes, and he's still threatening to raise more taxes). Businesses and rich people have the option of hiding their money from excessive taxes (or just passing them a long to their customers like businesses can).. we, the little people get stuck with the bill. Of course most people are so busy blaming businesses for protecting themselves from the rules, that they never stop to think to blame the people that created the rules in the first place.. the government. If we didnt have such crazy high taxes to begin with, there would be no reason for ANYONE to want to hide money off shore. Trillions of dollars would come back to the economy which is worth more than any tax hikes. That's money thats pretty much never going to be used to create a job in America because the moment they bring it home, they owe tons of taxes on it.

7. Tux4g63

Posts: 121; Member since: Oct 21, 2011

The levied tax rate on business (35%) is the highest anywhere in the world basically, but the actual paid tax rate is wayyy lower. It's the tax code that needs to be overhauled and fixed so that everyone would "actually" pay a fair share. Warren Buffet stated it best when he said his secretary's effective tax rate was higher than his. Companies and very wealthy people can afford to find ways to exploit the loopholes. Most of middle class and lower class America can't afford that kind of professional. The fix is to create a more uniform and level tax code, that is enforceable, and does not create as many loopholes.

22. Lucas777

Posts: 2137; Member since: Jan 06, 2011

the reason warren buffet said all that is because he was lobbying obama to not build the gas pipeline from canada to texas so that buffet's railroad would remain the prevalent way to transport oil... he is also in a billion dollar tax dispute with the irs, which he would much like obama to diminish... buffet did not say all that as a concerned citizen... and anyways all his money is taxed through corporate and stock taxes, so its not like he is paying less but yes the tax code direly needs reform... i mean the tax code is some excess largeness like 7000 pages or something and remixfa i completely agree

26. remixfa

Posts: 14605; Member since: Dec 19, 2008

sorry tux, but 20% of 30k is a lot less (and still too much) than Buffet's 15% of A BILLION DOLLARS. Buffet (and the rest of those "evil greedy rich people" that make up the top 5%) pay nearly 60% of all taxes. They are paying their fare share.. and then some. In fact, "the poor" as they are called pay no taxes at all.. and im not just talking dirt poor, im talking someone making like 11 bux an hour. By the time you get all your tax deductions (especially if you have kids and a house) your MAKING more than your paying into the system. Effectively anyone making less than like 35-40k a year with kids pays little to no taxes... including Buffet's secretary. People need to quit reading headlines and thinking they know whats going on. The news doesnt tell you jack.. if your not researching it yourself your blind to whatever truth there may be.

12. iamcc

Posts: 1319; Member since: Oct 07, 2011

Remix, your opinion is pretty respected around here (for the most part) do yourself a favor and don't bring politics into a phone discussion.

16. androiddownsouth

Posts: 598; Member since: May 02, 2012

I agree remix, but I also agree with iamcc that this just isn't the place for politics. You tend to be smart and well informed, let's not ruin our tech talk with politics man.

19. jmoita2

Posts: 930; Member since: Dec 23, 2011

Remixfa... Actually, tax revenues are at historic lows, thanks to people like you who think millionaires and billionaires don't have to pay taxes. Do your own thinking instead of swallowing far right propaganda without thinking twice.

27. remixfa

Posts: 14605; Member since: Dec 19, 2008

no... tax revenues are at historic lows because we are not bringing in SALES TAX like we used to. No jobs = no free money = reduction in tax revenues from income tax and especially sales tax. Looks like im not the one that needs to quit swallowing propaganda.

8. MartyK

Posts: 1043; Member since: Apr 11, 2012

Why is it EVERYTIME someone talks about business,Electronics or ANYTHING the first thing poor people (People who makes less then $250,000.00 a year) Always scream and want to protect the rich people like some lap dog?..don't worry about what is going on with the Rich BANK ACCOUNT, worry about your own little pockets and who is trying to save our poor butts some money and reduce US DEBTS. IF YOU MAKE LESS THEN $250.000.00 A YEAR ( except P.A staff they make more)..OBAMA IS YOUR FRIEND!!..don't vote against your pocket!!

15. androiddownsouth

Posts: 598; Member since: May 02, 2012

There is so much wrong with that last statement that this is 100% not the time nor place to tell you why, not that you would listen based on your post.......

28. remixfa

Posts: 14605; Member since: Dec 19, 2008

ill put it this way. Obama wants to keep the BUSH tax cuts for all making less than 250k. He's not saving you any money. The other side wants to keep all tax cuts and not raise anyone's rate. The middle class is not in danger of a direct tax hike. However the dozen+ indirect taxes he has pushed in obamacare will hurt us + inflation.

9. InspectorGadget80 unregistered

What they should of talk is how much Apple is loosing money spending on the courts and

10. good2great

Posts: 1042; Member since: Feb 22, 2012

dude chill out man... if you dont have anything intelligent to add to the articles then just sit back and relax... you guys type the same ole comments day after day in here... calm down... GEEZ!!! we know you HATE apple... get over it...

17. christianqwerty

Posts: 467; Member since: May 05, 2011

Hey apple, my birthday is coming up.... Just throwing that out there.

18. mas11

Posts: 1034; Member since: Mar 30, 2012

They should spend that money on innovation. If the money is just sitting there it's a huge waste.

20. Lucas777

Posts: 2137; Member since: Jan 06, 2011

not really.. they might be gearing up for a huge investment in a company, or they just want to slowly make interest from off-shore accounts

21. jmoita2

Posts: 930; Member since: Dec 23, 2011

...or avoid tax liabilities altogether.

25. mas11

Posts: 1034; Member since: Mar 30, 2012

Well if a company isn't using money it's just a waste (Business 101)

29. remixfa

Posts: 14605; Member since: Dec 19, 2008

not true at all. Businesses need large reserves in the bank to float the company when they run into rough times. This is new for apple. They have never been a "big company". Until the iphone they were not much more than a hippy boutique computer company with a tiny marketshare compared to MS. The proper thing to do is to take the time to build up a warchest incase the market crashes or some other unforseen accident. Without that war chest, if something did happen, they would be SOL just like anyone else that doesnt have savings. Its just like when people spend every penny they make and never save anything. The moment anything happens, they are SOL. Lesson for life, you can always find a way to save money if you look. There is a big difference between "need" and "want". On that note, im sure they could find much better things to invest a chunk of that money in instead of letting it sit there building minimal interest. Any interest they may gain is chump change to how much they could make by reinvesting. The problem is, they cant reinvest it back into america without paying massive taxes on it. So any investment would go to offshore work sites. One thing that Jobs did try to do that I agree with, is that he tried to convince Obama in one of their personal meetings that Obama should strip the tax away from repatriating money (bringing it back from offshore accounts), so businesses would bring TRILLIONS back into the US to have it reinvested in jobs and growth. Obama flat out refused... even with the promise of mass investments by many major cooperations that have large offshore accounts.

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