Apple Computers now owns the Starbucks Coperation
In a surprise announcement today Apple computers have acquired major coffee retailer starbucks for 300 billion dollars. Starbucks is the second largest company in the U.S. just under Apple which is the largest at 700 billion dollars. The coffeehouse chain is a rapidly growing company and on average a new store opens every 30 minutes.
Apple tends to purchase low key small startups and companies. This is one of Apples largest acquisition to date with the 200 billion in cash and 100 billion in stock. The last large company Apple bought was Dr. Dre’s Beats which is a streaming radio service and headphone company.
There’s much speculation that Apple has been trying to get into the coffee market for sometime now which is a rare move for the world’s largest technology company. It’s still unclear how the two brands will effect one another but after the announcement of the acquisition Apples stock jumped 32 cents to $625.37.
Apple plans to slowly integrate the two brands with Starbucks coffee being sold inside Apple stores and Apple products such as iPhone, iPads, and iPods will be available at about 70% of the 80,000 Starbucks locations. Cross branding will also be visible with new menu items like the iFrappuccino and the iMacchiato.
All iPhones will begin to come pre-installed with the new Starbucks ordering app developed by Apple. Users will be able to preset their coffee of choice in the application and when entering a starbucks or Apple store their order will automatically be placed.
Only time will tell how consumers will feel about the Apple and Starbucks brands integrating retail space. After the debacle of forcing a free U2 album on users iPhones and iPods, Apple doesn’t always have award winning ideas. The first apple computers products will begin to appear at Starbucks late summer 2015.