Apple is interested in buying Time Warner, one of the largest American companies that owns a vast portfolio of multimedia content distributors, including internet and television services throughout the US.
The price of Time Warner shares on the American stock exchange is much lower than it should be, the stock market capitalization of the company being lower than the value of the assets it owns, so many investors would be interested in a sale of the company, total or partial.
Apple seems to be monitoring the issue of Time Warner very carefully and is considering a possible acquisition, the company being able to help it a lot in launching an online television service for Apple TV, but also vast libraries of content, plus popular shows such as Game of Thrones or CNN News television.
The most important part in this whole equation is that Time Warner already has agreements with all the TV channels that Apple needs to launch its internet television service, and the acquisition of Time Warner solves the problem of negotiating with them.
Cupertino, Calif.-based Apple has struggled to create a skinny bundle of programming from existing content partners. A deal with Time Warner would give Apple most of what it needs: CNN news, Turner Sports and such hugely popular shows as "Game of Thrones" and "Sesame Street" from HBO — not to mention Warner Bros. movies and TV shows.
Even if not all of the Time Warner company will be sold, parts of it could reach other companies, despite the opposition of its CEO, and Apple could buy the rights to some televisions, TV shows or maybe even the movie house Warner Bros.
Eddy Cue, the vice president of the internet division within Apple, is following the situation closely together with other people from his team and from the financial division, considering a complete acquisition of Time Warner or maybe only some of its divisions.
For Apple, buying Time Warner would not be such a good idea, considering that we are talking about a very large and very complex entity, but acquiring some divisions that it really needs would be simpler and easier to achieve .
