Google Inc (GOOG), Apple Inc. (AAPL): The Sense Behind ‘Made in the USA’

When such a large chunk of revenue and profit comes from one country, it makes a lot of sense to set up manufacturing plants there, to be nearer to customers. That’s what initially drove companies to set up shop in China a decade ago, and with the Chinese economy cooling off, it opens up opportunity to bring back jobs and investment to a place with a stable economy that desires more products made at home.

AT&T a sleeper winner

AT&T Inc. (NYSE:T) will also benefit from this repatriation, thanks to deals with Apple Inc. (NASDAQ:AAPL) as well as near exclusivity with the Motorola X. Mentioned earlier, it’s a phone designed with new AT&T technology in mind. AT&T’s 1.2 million smartphone subscribers, using 50% more data, year over year, put the company in a strong position to help Google Inc (NASDAQ:GOOG) and Apple cater to American customers in a way that can’t be done yet with international customers.

AT&T Inc. (NYSE:T) will be integral to the Motorola X, and will drive users to buy the phone, which will mean a better bottom line for AT&T and Google’s American manufacturing. Apple Inc. (NASDAQ:AAPL)’s Macs have gained in revenue despite a decline in unit sales, but that makes production more profit-efficient in the USA, foretelling potential success for all three companies in their “Made in the USA” push.

John McKenna has no position in any stocks mentioned. The Motley Fool recommends Apple and Google. The Motley Fool owns shares of Apple and Google.

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