The easiest way to make more money is to have an absolutely enormous amount of it already. Apple, which is sitting on a war chest of about $250 billion, is leaning into that fact with full force. With Apple Card, its very own credit card, Cupertino is becoming a financial services company.
Why Apple Made a Credit Card
As we noted in the fall, Apple had a problem. The Tim Cook-led tech giant sat upon a mountain of cash it made from selling a boatload of iPhones. But the world is passing peak smartphone now that most people have a good one and each year’s new slate of gadgets isn’t particularly exciting. Discontented investors demand growth, which means even titanic Apple must find more ways to make money.
That explains Apple’s Monday, March 25 big event. On the stage previously reserved for new gadgets, Cook and company rolled out a number of paid services. Apple News+ offers access to select newspapers and magazines for a monthly fee, Apple Arcade offers a bundle of games, and Apple TV+ will be a streaming service featuring original programming.
The most curious development, however, was Apple Card.