Apple to buy a Hollywood studio?

Wedbush's Daniel Ives says acquisition of a Lionsgate, MGM or Sony Pictures is a "very potential scenario."

Posted on Friday on Business Insider Prime ($):

The coronavirus crisis is taking a heavy toll on Holywood, which could create an unexpected opportunity for Apple to boost its streaming TV business, a Wall Street analyst said Friday.

"There are different projects that can't get off the ground because they can't even be filmed or produced," Wedbush analyst Daniel Ives told Business Insider.

"I believe Apple acquiring a major studio, a Lionsgate, an MGM, a Sony Pictures, is a very potential scenario," he said. "They need content, and, and they have $200 billion plus of cash."

My take: Ives should know better.

9 Comments

  1. Fred Stein said:
    A few better acquisition targets:

    1) AAPL – As we have all discussed, is undervalued
    2) Talent – Why pay 10’s of $B’s for studios, when you get talent for 10’s of $M’s?
    3) Startups – As IPO dates get pushed out, VCs prepare to fund their biggest bets for longer time scales while looking for exits for smaller, earlier companies.

    7
    March 28, 2020
    • Gregg Thurman said:
      2) Talent – Why pay 10’s of $B’s for studios, when you get talent for 10’s of $M’s?

      Your best post ever.

      4
      March 28, 2020
  2. Kathy Corby said:
    I don’t know. There was Beats. Especially if they could make it an aqui-hire. At any rate, it makes more sense than “Apple should buy Disney. “

    3
    March 28, 2020
    • Aaron Belich said:
      True, but the talent that they’ve already pulled from HBO, Sony, Netflix and others… small acquisitions / small innovations.

      0
      March 29, 2020
  3. Kathy Corby said:
    LGF/A stock 36.48 in January 2018. Closed Friday at 5.87. Kinda makes it a dollar store acquisition.

    3
    March 28, 2020
    • Gregg Thurman said:
      A Company’s stock rarely reflects the value of the enterprise and the assets it owns.

      1
      March 28, 2020
  4. Dan Scropos said:
    I believe Apple is solely looking into future and original programming. I also believe they are positioning for a post Netflix world. I don’t believe Netflix is sustainable and will eventually buckle under the pressure of competition. Apple makes no major acquisition and keeps their focus on original programs.

    6
    March 28, 2020
    • Gregg Thurman said:
      I believe Apple is solely looking into future and original programming. I also believe they are positioning for a post Netflix world. I don’t believe Netflix is sustainable and will eventually buckle under the pressure of competition. Apple makes no major acquisition and keeps their focus on original programs.

      Your best post ever.

      2
      March 28, 2020

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