How Steve Jobs Buys a Company and Why Apple Bought Lala

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Jan 18, 2013.

  1. macrumors bot

    MacRumors

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    [​IMG]


    Aubrey Johnson, a former Color employee, shares two stories behind the scenes at Apple's acquisitions of both Color and Lala -- both firms were founded by Bill Nguyen before being acquired by Apple for two very different reasons.

    Like Pandora, Lala's music was streamed from the internet rather than stored locally. This allowed users to listen to a catalog of over 7 million songs for free as a stream over the web -- much like Pandora or Spotify today. Songs could also be purchased and downloaded, typically for a lower price than iTunes was offering.

    [​IMG]
    Johnson writes that Lala's biggest strength was that it was at or near the top for many Google searches of particular songs, thanks to a search placement deal with Google. As a result, the firm was siphoning sales away from iTunes. As well, Google and Lala had partnered on Google's Music service. Both Nokia and Google made lowball offers for the firm, and Nguyen headed to Apple to see if they'd be interested in buying his company.
    After the acquisition, a number of Lala employees left the company with Nguyen, leaving millions in options on the table. Later, Apple apparently bought back some of those same engineers when the company purchased the remnants of Color, getting more experienced personnel for a significant savings.

    Update: Johnson's post has been removed.

    Article Link: How Steve Jobs Buys a Company and Why Apple Bought Lala
     
  2. macrumors 65816

    tevion5

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    #2
    Now all they have to do is apply the same tactics again and acquire Google
     
  3. macrumors 68020

    Squilly

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  4. macrumors G5

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    Why would you want them to? And what makes you think there's any chance they could remotely afford to?
     
  5. macrumors 68020

    Squilly

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    #5
    Chances are Google has more revenue & profits than Apple. They have a search engine, Android, RELIABLE Maps, etc.
     
  6. macrumors regular

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    #6
    Nice.

    ----------

    This is false... There's a reason AAPL (~468 bln) is more than 2x the size of GOOG (~231 bln).
     
  7. macrumors 6502a

    vvebsta

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    Like a BOSS!! Only Steve Jobs
     
  8. macrumors 65816

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    #8
    LOL, that was going to be my comment!
     
  9. macrumors 6502

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    #9
    Attention Macrumors

    This is the kind of article people want to read. Nice
     
  10. Moderator

    SandboxGeneral

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    #10
    Now if all business transactions were that simple, life would be so much better.
     
  11. macrumors 68020

    Squilly

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    #11
    Oh please... Without Google, Apple is nothing.
     
  12. macrumors 68000

    nepalisherpa

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    #12
    Good luck with that!
     
  13. macrumors 68030

    basesloaded190

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    #13
    And vice versa
     
  14. macrumors 6502

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    #14
    Please explain.

    I agree that without Google the Internet would be a very different, and arguably less useful place. Google revolutionized search and forced every other player to adapt or die.

    Anyone else remember the smattering of search engines one used to employ for different types of searches before Google came along and changed everything? I do.

    Still, I can't really see how a Google-less world would have any significant effect on Apple. Well, except without Google Microsoft might still be relevant and Apple fanboys would still be fighting Microsoft fanboys...
     
  15. macrumors 6502

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    #15
    If Steve were alive, he'd be invited to sit with Obama to figure a way out of the Finacial mess this country is in..... He maybe couldn't fix it right away, but there would be some unique ideas thrown out there, I'd bet !:)
     
  16. macrumors 6502a

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    #16
    becasue AAPL has 3x the amount of outstanding shares compaired to goog?
     
  17. macrumors regular

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    #17
    Just like that.. no fuss no mess. Here is a a number, take it or leave it.
     
  18. macrumors 68020

    Squilly

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    #18
    I think you just answered your own question.
     
  19. macrumors 6502a

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    #19
    Tips on how Steve Jobs bought a company:

    1) He made an offer
    2) It was accepted

    For bonus points, pass the offer on a piece of paper for added oomph.
     
  20. macrumors 6502a

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    #20
    Non sequitur. Outstanding shares doesn't affect market cap.
     
  21. macrumors 6502a

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    #21
    I always thought that the whole "write a number on a piece of paper" thing was just in movies. I guess that it reduces the shock of saying a huge number out loud?
     
  22. macrumors regular

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    #22
    Stop now you're making yourself look foolish
     
  23. macrumors G4

    Chupa Chupa

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    #23
    How is this unique to Steve Jobs? The Robber Barrons bought competition to shut them down back in the early 20th cent.
     
  24. macrumors 65816

    SockRolid

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    #24
    What Google said: "Don't be evil."

    What Google did: "Don't be evil. Unless we get paid."
     
  25. macrumors 6502

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    #25
    And what part of my answer leads to the conclusion that Apple would be "nothing" - just because its perceived enemy is different? :confused:
     

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