It’s been three months since they first got wind that TARP funds might drift their way, but lifeline-receiving banks are guarding the rope that would rescue the economy with unusual tenacity. They’re not lending, and that unwillingness has inspired harsh words from the new administration and threats of legal compulsion from U.K. Prime Minister Gordon Brown.
If only someone, some company, could step up as an act of duty for which they would receive the reward of profit. Such a company would, ideally, have a lot of actual cash to lend out. It would boast a great brand, one that could help inspire confidence and risk-taking by prospective borrowers. As a bonus, imagine that the company had weathered a crisis of its own in the 1990s and was in 2009 enjoying increasing sales despite the times. Wouldn’t that be the kind of company that could, should, and ought to enter personal and business banking—and maybe even revolutionize the industry?
Thankfully, such a company exists. The Big Money calls on Apple Inc. to step forward and, for the good of the nation and itself, join the ranks of the money-changers. Sure, Apple may be a technology company that has avoided aspirations to GE-like conglomerate status. But entering the banking sector makes perfect sense for Apple once you look anew at the company’s current position and core strengths.
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More than a payment service
A payment service would make sense, and a banking license could be helpful (Paypal is a bank in Europe). Paying with your iPhone could be the next big thing. And Apple is already distributing media, a user-friendly micropayment system is the next step to overcome the limitations of iTunes and the iPhone App Store. Some newspapers would be glad. Apple could rule the world... but after that Apple should build a "Bank Store" - like the iPhone App Store" - where everyone can set up his own bank. Imagine - you could even build your own currency. There would be thousands of currencies around: green money, ethical money, religious money, corporate money, gold based money, local money, speculative money. Each currency with its own rules how to get it and how to spend it.
why just apple -- let's not forget Exxon/Mobile
If having billions in cash reserves and record profit postings is a prerequisite for becoming a bank let us not forget the big winner of 2008 -- Exxon/Mobile. And once they get the Exxon/Mobile bank setup, I say, let them bail-out GM.
[sic]
"And it’s especially outfitted today to incorporate new banking operations in its suite embrace."
Ridiculous idea
What a patently absurd idea. Apple is a computer company, not a financial services one. Who cares if its "balance sheet" and "branding and advertising prowess" are great? Does it not matter that specialty is technology? Or is it first and foremost a corporation now? While we're "calling on" Company A to enter the arena of Company B, why not call on Delta Airlines to start manufacturing furniture? Or Coca-Cola to get into the business of making clothing? Maybe Paramount Pictures can start making hair products! After all, what are companies but empty money-making shells for which any widget is as good as the next, provided that it's profitable? This reminds me of a father asking his artist son, "Why don't you just become a doctor?" Let those with a vision for and passion about financial services create banks. Let Apple be what it is.
Apple Bank?
I had the same thought weeks ago but with a different company, Microsoft. This seems like the perfect time for cash rich companies to expand their breadth and pick up bargains in all sorts of industries. I thought of Microsoft because, like Apple, it has lots of cash on hand. Unlike Apple, the share price has been stagnant for years. And then there was that proposed deal for Yahoo, which I believe was estimated to be as much as $44 billion. For $10 billion or so, it could have bought an investment bank (Lehman or one of the other now defunct Wall Street houses), a car company (Chrysler or Saturn), an electronics retailer (Circuit City), and lots of distressed premium real estate at fire sale prices. Why do tech companies only think in tech terms and not as conglomerates, which in essence they already are?
iBank - Excellent Idea
This would be even sweeter if the con artists masquerading as "banks" were allowed to go bankrupt as they deserve. Banks have historically been conservative, safe businesses. Ask the Rothschilds if banking is a good business. There will be huge opportunities as the economy transitions into rewarding sustainable businesses. Those businesses will be massively profitable and will require financing. Apple, Steve Jobs or not, knows how to produce products consumers love. The whole iMoniker thing works, stick with it.
Stick w/ iBank
This is an incredibly good idea. I'm not particularly fond of Apple's products...perhaps just resistant to the cultish aspects of iConsumption...but that same cult effect is perfect for a financial services company. I can see (just by length, if nothing else) that you really take this idea seriously. I hope someone at Apple is slacking off right now and reading Big Money. Oh, "Seed Bank" sounds like the kind of venerable financial institution one might find on the side of a two lane highway in rural Nebraska right in between the Sonic and the Casey's General Store. Stick with iBank.
Wrong name for the Apple bank
iBank is terrible name. The name should suggest its purpose and instill confidence. Hence, Apple, Inc.'s finance venture should be dubbed The Seed Bank . Why seed? Loans are what's needed to seed and grow the economy, perhaps start orchard after orchard of new ventures, new homes, new jobs, new careers, new lives. Also, reference to Johnny Appleseed and his legendary deeds. Also, I don't think that name is taken, yet.