Apple Inc. (NASDAQ:AAPL) has acquired LuxVue Technology Corp., a startup company that designs power saving displays mostly used in smaller consumer gadgets that don’t have space for bigger screens and hefty batteries. Though the startup was not famous, its designs are really impressive.
According to Bloomberg, Kristin Huguet, Apple’s spokeswoman, confirmed this acquisition and also mentioned that tech giant acquires small technology companies every now and then and it generally doesn’t discuss purpose of acquisition.
This should not come in as a surprise taking into account Apple Inc. (NASDAQ:AAPL) has purchased a staggering 24 companies over the last 1.5 years. Apple acquires startup companies that are doing really well in a particular field and uses the expertise to develop and improve its trending products. People seem to love that. The latest acquisitions are rumored to be for a bigger iPhone, an iWatch and a trending Apple TV set-top box.
LuxVue is based out of Santa Clara, California, which was started in 2009 and the initial investor was Kleiner Perkins Caufield & Byers. LuxVue’s status on Kliener’s website is “Acquired”, but the post doesn’t go into further details of the deal.
Apple Inc. (NASDAQ:AAPL)’s CEO, Tim Cook has already announced last month that the company’s finance is very good and that they are doing a lot of things in the backdrop which can’t be disclosed yet. He made one thing clear, though: Apple is ready for acquisitions to boost its business.
Here is what Tim Cook said at the last earnings call, according to the transcript:
“From an acquisition point of view, we have done 24 in 18 months. That shows that we’re on the prowl, I suppose you could say. We look for companies that have great people and great technology and that fit culturally. And we don’t have a rule that says we can’t spend a lot or whatever. We’ll spend what we think is a fair price. What’s important to us is that strategically it makes sense and that it winds up adding value to our shareholders over the long haul. We are not in a race to spend the most or acquire the most. We’re in a race to make the worlds’ best product that really enrich people’s lives.”
Apple Inc. (NASDAQ:AAPL) is all set to launch iOS 8 in its World Wide Developers Conference (WWDC) 2014 that is going to begin on June 2nd 2014. Who knows, we might see the prototype of the rumored iWatch at the WWDC.
The acquisition of LuxVue was reported by TechCrunch a couple of days ago. Apple’s stock has been on a roll recently and it is expected to rise further. The growth of Apple Inc. (NASDAQ:AAPL)’s share price and as a result the raise of the company’s value, have motivated the company to return more capital to its shareholders and to conduct a 7-to-1 stock split, which will decrease the price per share and will make the stock more affordable to smaller investors.