Apple’s $46bn cash mountain is a source of frustration that is now “bordering on exasperation” for the company’s shareholders. So says Toni Sacconaghi of Sanford C Bernstein, one of Wall Street’s most respected hardware analysts, in an open letter to the company.
But don’t expect Apple to bow quickly to calls to start paying a dividend or otherwise distribute the money. Steve Jobs said earlier this year that having the cash on hand gives Apple huge strategic flexibility. And Wall Street seldom seems bothered by how tech companies deploy their excess cash – as Microsoft has found since it got religion about disciplined cash management some years ago.
Full letter after the break. Read more