Apple Could be Interested in Buying Mobile Payments Company Square

[RaduTyrsina]

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According to some recent reports from the Re/code publication, both Apple and Google could be interested in acquiring Square in order to use its technologies and reach to develop their own mobile payments solution. Google is seen as “the most likely acquirer,†considering the fact that the search giant already has the Google Wallet platform and it could be looking to expand its reach by using Square. However, it seems that CEO Jack Dorsey wouldn’t agree to such a buy-out, as believes his company’s “design aesthetic and values†are more closely aligned with Apple than Google.

The most-asked question, of course, is whether Square is for sale or not. And that answer depends on what you mean by for sale. In the last year, both Apple and Google have considered making acquisition offers for Square, according to industry sources familiar with the situation. In recent weeks, though, acquisition rumors have run rampant for Square, including chatter among its competitors, with Google being named as the most likely acquirer. This kind of stuff is common in Silicon Valley, but no firm offers have been made so far and people close to the management team at Square said the company is not actively trying to sell the company.

The rumor has it that there has already been made a $8 billion offer to acquire Square, but at the moment we don’t know whether this came from Apple, Google or another company. A more realistic view shows that Apple doesn’t have the profile of a company that makes billion-dollar acquisition. It rather prefers to spend its cash pile on smaller, more strategic deals that the company develops and embeds deeply into their own products and services. And this seems like a better strategy and buying a company just for the sake of making a good profit.

Nonetheless, Apple Chief Executive Tim Cook himself hinted in January that Apple is interested in entering the mobile payment space, the Touch ID fingerprint sensor representing a good starting point

You can tell by looking at the demographics of our customers, and the amount of commerce that goes through iOS devices versus the competition, that it’s a big opportunity on the platform

Source: iPhoneForums