iPad creator now richer than US Govt - report

By NZ Herald staff

Photo / Sarah Ivey
Photo / Sarah Ivey

The creator of the iPhone, iPod and iPad, Apple, now has more money to spend than the United States government, the BBC reports.

According to the Latest figures from the US Treasury Department, the US has an operating cash balance of USD$73.7 billion (NZD$83.8 billion), while Apple's most recent financial results shows it has reserves of USD$76.4 billion (NZD$86.8 billion).

The BBC report comes as the US government struggles to resolve the impending debt crisis, with the country at risk of not being able to make payments unless it extends its debt limits.

While the US government is currently spending around USD$200 billion (NZD$227.4 billion) more than it collects each month, in the past three months up until June 25, Apple's net income was 125 per cent higher than a year earlier at USD$7.31 billion (NZD$8.31 billion).

Daniel Ashdown, an analyst at Juniper Research told the BBC the company may be looking at a spending spree, with bookstore Barnes and Noble and online film site Netflix potential targets.

"Apple keeps its cards close to its chest," Mr Ashdown said.

- NZ Herald

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