Apple Inc. (AAPL) On Its Own Holiday Shopping Spree?

Apple Inc. (AAPL)Apple Inc. (NASDAQ:AAPL) apparently has a very good first-hand understanding of holiday shopping, because it seems now that the company is using some of its vast stash of cash to acquire some businesses. We reported here Tuesday about Apple Inc. (NASDAQ:AAPL) finalizing a deal initiated last month to buy HTML5 developer Particle, and now Apple Inc. (NASDAQ:AAPL) seems to be in serious discussions to buy a company that might otherwise close its doors.

Color Labs, a photo- and video-sharing social network company which has had a relationship with the Apple Inc. (NASDAQ:AAPL) iOS and the Google Inc. (NASDAQ:GOOG) Android operating systems, is apparently on its way to closing unless CEO Bill Nguyen can close a deal with Apple Inc. (NASDAQ:AAPL). The $40-million company seems to be considering a deal that would be in the “high double-digit” millions, which would cover the value of the company and give all investors a decent return on their investments.

It seems that Apple Inc. (NASDAQ:AAPL) might be more interested in the patent and patent-pending portfolio of Color Labs than keeping the company running. Color Labs has some patents having to do with recording HD video, GPS location (maybe for an improved mapping application?) and technology for saving battery life (battery life has been an issue with the iPhone 5).

Color Labs founder Nguyen and the board of directors have been at a loggerheads lately, but Nguyen is known to have shown the Color Labs technology with Apple Inc. (NASDAQ:AAPL) executives, including Eddy Cue, head of internet software and services. Color Labs has had some visibility with its free Color app both for iOs and Android, and apparently recently was demonstrating a broadcasting app that hadn’t been released yet.

As the discussions are in the early stages, there is little chatter coming directly from Color Labs or Apple Inc. (NASDAQ:AAPL). However, if this deal goes through, it will be interesting for observers and investors of Apple Inc. (NASDAQ:AAPL) stock – like billionaire fund manager David Einhorn of Greenlight Capital – to see whether Color Labs will continue to exist and be a native iOS app developer or will it be scalped for its patent portfolio.

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 10 Largest Pharmaceutical Companies In the World

The 10 Most Expensive Android Apps

The 9 Most Expensive Designer Bags in the World

The 7 Most Expensive Real Estate in the World

The 10 Most Expensive eBay Items Ever Sold

The 10 Most Expensive iPhone Apps

The 9 Most Expensive Designer Shoes in the World

The 10 Most Expensive Cigarette Brands

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!