Re:Volkswagen invests up to $5B in Rivian
by constantcrying on Wednesday June 26, 2024 @06:17AM
(#40798335)
VW has comparable revenue to Apple, 4 times the employees, twice the assets and triple the equity. Additionally it can only be bought by negotiating with a single family.
No, apple can not buy VW. This idea is totally absurd.
If you look a few comments higher than mine, you'll see that the context of my comment and the one I replied to start from:
> In another universe, I wonder [about Apple + VW joining forces]
We're not speculating on what might happen tomorrow, just discussing hypotheticals for the scenario in which those companies were wanting to be partners of some kind.
Re:Volkswagen invests up to $5B in Rivian
by constantcrying on Wednesday June 26, 2024 @06:42AM
(#40798465)
Seems like a complete nightmare. A Californian software company and a German car maker, seems about as conflicting as possible.
Agree with you, that's why my thought was that, if they were to do anything, an acquisition in which VW retains their autonomy and leadership would make more sense than one in which the two executive teams merge and attempt to manage the new dual-culture single company.
The state of Lower Saxony, where VW is located, is also a 20% stakeholder and politically extremely influential.
Re:Volkswagen invests up to $5B in Rivian
by londons_explore on Wednesday June 26, 2024 @06:15AM
(#40798325)
Unfortunately, with our current capitalistic system, it doesn't make sense to buy a company which has no intention to be as profitable as you are.
Basically, shareholders expect you to invest all the cash in your stockpile for a similar percentage return (on average), and they won't want you to invest in a capital heavy but almost profitless industry like carmaking unless you think you can turn it into a business of similar profit levels per unit investment to your existing business.
I.E. securing any future VW profits, and ensuring that the IP licensing deal is indefinite, while staying hands off and allowing VW to keep doing what they do with the exception of using Apple software.