April 8 - Overflowing coffers pose a dream for many, yet for several tech giants, it's become a conundrum: how to deploy their hefty cash reserves while navigating tightening regulatory scrutiny.
According to reports from state media, companies such as Apple, Amazon, Microsoft, Google's parent Alphabet, and Meta collectively sit on over $570 billion USD (approximately 4.1 trillion RMB) in cash, including both short-term and long-term investments.
The ability to amass such substantial cash reserves stems largely from the fact that, unlike many other industries, tech titans don't grapple with exorbitant fixed costs. However, their expansion endeavors have grown increasingly challenging amid heightened scrutiny from U.S. and global regulatory bodies.
Over the past year, the likes of Amazon, Adobe, and Intel have found themselves compelled to postpone or abandon several acquisition plans. Even when deals ultimately secure approval, they entail prolonged timelines and heightened costs. Microsoft's acquisition of Activision Blizzard serves as a prime example, taking nearly two years to finalize.
Apple's co-founder Steve Jobs once joked about throwing lavish parties with the company's colossal cash pile, perhaps one of the least contentious proposals for its use.
