What If Apple Buys Disney?

Note: this isn't a unique idea.  A few other folks, I am sure, have thought about this.

Apple has over $250 billion in cash and cash equivalents, most of it overseas.  The most recent changes to the tax laws will allow them to repatriate this.  Companies generally have three choices with their cash: reinvest in the business, acquire another company, or return it to shareholders.

Apple has been buying back shares with debt, and certainly they can continue to do so.  They have certainly bought other companies in the past.  But with $250 billion dollars, they can actually buy Disney outright and still have $100 billion left over.  Or they can buy Netflix.  Either one of these companies will get their foot into the video streaming service.

Personally, I'd like to see them buy Disney.  I would like to think this was part of Steve Jobs' grand vision to own great content, which is why he wanted Pixar to succeed so badly.

Apple will own all the current and future Disney content, and expand their recurring revenue beyond Apple Music.  I am not an Apple Music subscriber, but once Disney starts their own subscription service, I will certainly consider signing up because of their great content.

And as an Apple shareholder, I would welcome this venture beyond iPhone sales.