• Will Apple Acquire Disney?

    Chalk this up as one of the strangest - if not the very strangest - Apple rumor we've reported this year or any other in recent memory.

    But if Francis McInerney, a consultant at North River Ventures, is correct (and most people don't think there's a remote possibility that he is), Apple may one day acquire Disney.

    Yeah, that Disney.

    While it's no secret that Apple and Disney have retained close ties in a relationship that dates back to Steve Jobs' passion for and working arrangement with Disney, a potential Apple acquisition of the venerable family entertainment company seems highly unlikely, even if - and that's a big if - Apple even wanted to purchase Disney.

    But for now, McInerney doesn't see it that way.

    “The logic is so great this could happen tomorrow,” McInerney says. “The two companies have an identical way of thinking in complementary markets. There’s nothing they do that competes with another. And yet combined this would be a powerhouse deal in the imagining."

    It should be noted, however, that with Disney’s market cap of $143 billion, it would take nearly all of Apple's available cash to execute the purchase - and perhaps much, much more. To date, Apple's biggest acquisition has been for a relatively paltry $3 billion. We're referring, of course, to last month's purchase of Beats Electronics.

    Nonetheless, McInerney calls a potential Apple-Disney deal “frighteningly obvious.”

    Source: The Washington Post
    This article was originally published in forum thread: Will Apple Acquire Disney? started by Michael Essany View original post
    Comments 7 Comments
    1. Bo's Avatar
      Bo -
      iDisney, how cool.
    1. Zokunei's Avatar
      Zokunei -
      No way.
    1. Albut's Avatar
      Albut -
      Let's hope not, they'll ruin the magic!
    1. Carvensno's Avatar
      Carvensno -
      Apple would then own Disney and everything listed here.

      1 Corporate
      2 Walt Disney Studios

      2.1 Motion pictures
      2.1.1 Lucasfilm
      2.1.2 Animation
      2.2 Disney Music Group
      2.3 Disney Theatrical Group
      2.4 Disney Studio Services[5][6]
      2.4.1 Studio Production Services
      2.4.2 Studio Post Production

      3 Disney Consumer Products

      3.1 Disney Publishing Worldwide

      4 Walt Disney Parks and Resorts

      4.1 Disneyland Resort
      4.2 Walt Disney World Resort
      4.3 Disneyland Paris
      4.4 Hong Kong International Theme Parks
      4.5 Shanghai Disney Resort
      4.6 Disney Cruise Line
      4.7 Disney Vacation Club

      5 Disney Media Networks

      5.1 Disney–ABC Television Group
      5.1.1 A+E Networks
      5.1.2 ABC Entertainment Group
      5.1.3 ABC Family Worldwide Inc.
      5.1.4 ABC Owned Television Stations Group
      5.1.5 Disney Channels Worldwide
      5.2 ESPN, Inc.

      6 Disney Interactive Media Group

      6.1 Disney Online
      6.2 Disney Interactive Studios
      6.3 Disney Mobile
      6.4 Disney Online Studios

      7 Marvel Entertainment
      8 International

      8.1 TWDC (India), Inc.

      Questions though?

      Would Apple buy, but leave Disney alone as is, or take control?

      Then all regulatory crap from the government, will the government let the deal go through or not?

      But then again? Look at Disney's list of what they have accumulated over the years and recently LOL
    1. pulsecub's Avatar
      pulsecub -
      It would make more sense for Microsoft to buy (or merge with) Disney than Apple if you think about it: Disney's media properties (ABC, the Disney Channel, etc.) would make a powerful addition to the XBox One expanding media offerings; and their production know-how would benefit Microsoft's fledgling production arm with the new Speilberg-produced, Ridley Scott-directed Halo television series that will only be available via XBox TV. Disney's game division, which now includes the studios pumping out the Star Wars titles (including those make exclusively for Kinect), as well as Infinity (which Microsoft already promotes) would fold in nicely alongside their Halo, Gears of War and other exclusive franchises. There are lots of ways for Kinect technology to integrate into the theme parks as well...

      The main problem with an Apple-Disney deal is they don't really complement one another. What would Disney bring to Apple's table? Disney Radio? The Disney Channel? That's already on AppleTV. Apple doesn't need a media/entertainment company; they're not in the business of content production -- they're more interested in content consumption. Sure, sure, Pixar can use scores of Mac Pro's, but other than getting those at an amazing corporate discount, well...

      I think McInerney goes a little too far when he says that Apple and Disney have retained close ties in a relationship going back to Steve Jobs; it's more like Apple and Pixar retained close ties, and then Disney purchased Pixar. It was Apple and Pixar which had the same way of thinking; Disney and Apple have very different ways of thinking, and very different corporate cultures to boot, with said culture differing from division-to-divisionn at Disney. Don't believe me? Just ask some folks who work for Disney's games division, their Theme Parks division, and the Imagineers how different things are. I've had friends over the years who've worked for all three, and the stories I've been told paint vastly different pictures of the 'corporate culture' in each of those areas.

      Finally, it's important to remember that acquisitions aren't always about liquidity on the part of the company making the buy. As we've seen so many times in the past, there are lots of forms of 'currency' to use when making a deal, including stock transfers and options, bringing in new investors, or even just purchasing specific divisions of a company (as with the Motorola deal, or the recent Nokia buyout). Apple may be capital rich, but sometimes it's also about how the two companies fit together and what their combined future may be.

      Just my opnion.
    1. Carvensno's Avatar
      Carvensno -
      No way MS has the finance to buy Disney. Plus the tech Disney uses for their parks and entertainment put Kinect to shame lol Disney is always state of the art tech!

      Sent from my iPhone using ModMyi
    1. pulsecub's Avatar
      pulsecub -
      As I said, it's not always about the financial liquidity when it comes to buyouts and mergers...

      And as for Kinect... you'd be surprised at some of the highly advanced uses that technology is being put to in research labs all around the world. The old Kinect made for the 360 was doing things we're only now seeing in the second-gen Kinect on a commercial level.

      As for Disney always being state of the art -- they may be in their Imagineering labs, but not in the Theme parks. Why, they're just now rolling out RFID with the new wristbands. Imagine combining those with Kinect and facial recognition to have animatronic characters (of the complexity you see in the Hall of Presidents) combined with Cortana-like A/I, interracting with guests in line queues, or taking restaurant reservations from designated locations throughout the park(s), or if you're staying on-property, sending messages back to family/friends at the hotel, and/or guest services so you can have a nice romantic dessert waiting in your room for you at the end of the night, etc. All of this could be possible when these technologies combine. Even something as simple as having the resort remember who you are from visit-to-visit, and having simple things like your preferred meals, or snacks ready for you when you get to the front of the line at one of the restaurant.

      It could truly add a whole new level to "Disney Magic," while saving the company a lot of money through advanced automation!

      These are the kinds of things that make mergers appealing to companies, and that make deals possible, even when there's not a lot of cash on the table.
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