A Bloomberg columnist wonders:
It really makes you wonder why Apple Chief Executive Officer Steve Jobs doesn’t just buy Sony.
Hmm. It’s really simple. After purchasing Sony and getting rid of 90% of extraneous units (content management, semiconductor design, software development, and media production), all that is left is low margin me-too electronics (LCDs) that Apple doesn’t want or expensive stuff that people don’t want (PS3, Bravia).
Apple probably wouldn’t mind controlling the Blu-Ray technology that analysts say offers lucrative revenue streams.
Apple believes that the world is going digital – any type of peripheral storage/distribution device is a step back from Apple’s vision. Anyone notice what was left out in MacBook Air?
Its camera line-up also could serve Apple well — an iCamera, anyone?
No. No one. The margins on cameras are so low (Sony’s was 9.6%) because of competitive pressures that Apple might as well close shop. They make better money selling them in the Apple stores.
Or an iPhone equipped with one of Sony’s high-definition camcorders?
And it weighs 50lbs and is the size of a square watermelon.
Japan also is a market that Apple has yet to dominate.
Dominate in what? Apple actually is doing pretty well out in Japan.
Imagine the merger of two companies that boast many of the world’s top design experts. Imagine how our living rooms might look, how we might communicate, how we might work, and how we might view what’s possible in 10 years if Sony, which is strong on hardware, and Apple, which excels in software, got together.
Apple is strong on hardware AND software (it’s the close integration that differentiates it from others).This merger dream sounds just as good as AOL/Time-Warner.
