Apple to invest 350 Billion in US economy and bring back most of overseas cash

[OSR stands with Israel]

https://www.cnbc.com/2018/01/17/apple-announces-350-billion-investment-20k-jobs-over-5-years.html

And create 20,000 new jobs as well


According to the article, Apples expects to pay about "$38 billion in taxes for the horde of cash it plans to bring back to the United States. This implies it will repatriate virtually all of its $250 billion in overseas cash".


Tim Cook also cites the GOP Tax reform was a huge reason why they did this : http://appleinsider.com/articles/18/01/17/apple-ceo-tim-cook-cites-gop-tax-reform-as-driver-in-350b-us-investment

[OSR stands with Israel]

Thanks GOP



Also Go Apple

[Tintrlvr]

If they continued the same level of annual investment in the US as in 2017 over the next five years, they would have invested $300 billion in the US over the next five years, so it's not a big change, if it's even actually related to the tax plan at all. Apple's job growth in the US was actually 5,000 jobs last year, so 20,000 jobs over five years implies a slowdown in annual US hiring.

[OSR stands with Israel]

If they continued the same level of annual investment in the US as in 2017 over the next five years, they would have invested $300 billion over the next five years, so it's not a big change, if it's even actually related to the tax plan at all.

Read the article



they plan to bring repatriate nearly all of its 250 billion overseas cash

[Tintrlvr]

If they continued the same level of annual investment in the US as in 2017 over the next five years, they would have invested $300 billion over the next five years, so it's not a big change, if it's even actually related to the tax plan at all.

Read the article



they plan to bring repatriate nearly all of its 250 billion overseas cash

That doesn't mean anything other than a one-time tax payment. They don't have to spend it once it's brought back.

Be on the lookout for companies looking for good press from the tax plan while not actually doing anything. Skepticism is appropriate.

[OSR stands with Israel]

If they continued the same level of annual investment in the US as in 2017 over the next five years, they would have invested $300 billion over the next five years, so it's not a big change, if it's even actually related to the tax plan at all.

Read the article



they plan to bring repatriate nearly all of its 250 billion overseas cash

That doesn't mean anything other than a one-time tax payment. They don't have to spend it once it's brought back.

Tim Cook cites one of the reason they did this was because of the Tax Reform.

[Ebsy]

Of course they did it because of tax reform. They got a gigantic tax windfall from it!

[Tintrlvr]

If they continued the same level of annual investment in the US as in 2017 over the next five years, they would have invested $300 billion over the next five years, so it's not a big change, if it's even actually related to the tax plan at all.

Read the article



they plan to bring repatriate nearly all of its 250 billion overseas cash

That doesn't mean anything other than a one-time tax payment. They don't have to spend it once it's brought back.

Tim Cook cites one of the reason they did this was because of the Tax Reform.

Of course he does, and there is no question that the repatriation is due to Apple's long-term gamble that there would be a tax holiday on repatriations paying off. Skepticism is appropriate.

Did you read the rest of my post? They were already on track for a similar level of investment and similar job growth in the US over the next five years if they did the exact same thing as in 2017 in 2018-2023.

[OSR stands with Israel]

Of course they did it because of tax reform. They got a gigantic tax windfall from it!

Win for the US economy, and Win for Apple.


I dont see how this is a bad thing


One of the goals of the Tax Reform was for companies like Apple to bring overseas cash back to the US

[TPIG]

Just another success of the tax reform. It's almost like letting companies keep more of their own money allows them to actually use that money towards productive ends in the economy. Gee, how strange...

[heatcharger]

So proud of the GOP. More high-paying jobs for Northern Virginia and Silicon Valley. Thank you Paul Ryan

[ProgressiveCanadian]

Of course they did it because of tax reform. They got a gigantic tax windfall from it!

Win for the US economy, and Win for Apple.


I dont see how this is a bad thing

So dense you are.

[Bismarck]

Of course they did it because of tax reform. They got a gigantic tax windfall from it!

Win for the US economy, and Win for Apple.


I dont see how this is a bad thing

So dense you are.

Even if you oppose the tax policy how could this possibly be a bad thing?

[JA]

It's good that they'll be investing additional money into the American economy, but it's unfortunate they felt such little responsibility to the society from which they benefited so much that they chose to stash their money overseas to avoid funding public programs and projects.

And based on the way workers in East Asia react to the work conditions at Apple facilities, I'm not certain that Americans will receive fair benefits, compensation, and safe work conditions. Sure, job growth is always a good thing, but the quality and wages are just as important.

[Ban my account ffs!]

Just another success of the tax reform. It's almost like letting companies keep more of their own money allows them to actually use that money towards productive ends in the economy. Gee, how strange...

Yeah... the problem is... America needs more roads, bridges, upgraded rails, air traffic control upgrades, properly maintained dams and waterways, replacement of huge numbers of sewer and water systems, electrical grid upgrades, school building upgrades, home energy efficiency upgrades, healthcare options for the poor so they don't cost more down the road...  

Not more iPhones.

That you can't see or understand this exposes a major problem with your logic systems.

[TPIG]

Just another success of the tax reform. It's almost like letting companies keep more of their own money allows them to actually use that money towards productive ends in the economy. Gee, how strange...

Yeah... the problem is... America needs more roads, bridges, upgraded rails, air traffic control upgrades, properly maintained dams and waterways, replacement of huge numbers of sewer and water systems, electrical grid upgrades, school building upgrades, home energy efficiency upgrades, healthcare options for the poor so they don't cost more down the road...  

Not more iPhones.

That you can't see or understand this exposes a major problem with your logic systems.

America does need those things, but it's not Apple's job to provide them. However, with Apple bringing in their overseas money and paying taxes on said money ($38 billion, according to the article) AND creating new jobs (those workers will now be paying taxes too), more money will be going to the government to fund those projects you speak of. The economy is not some zero sum game, where if Apple increases supply of iPhones, money has to be taken away from somewhere else; new wealth is being created in this situation, not being diverted away from public projects towards iPhones, as you suggest.

[Ban my account ffs!]

Just another success of the tax reform. It's almost like letting companies keep more of their own money allows them to actually use that money towards productive ends in the economy. Gee, how strange...

Yeah... the problem is... America needs more roads, bridges, upgraded rails, air traffic control upgrades, properly maintained dams and waterways, replacement of huge numbers of sewer and water systems, electrical grid upgrades, school building upgrades, home energy efficiency upgrades, healthcare options for the poor so they don't cost more down the road... 

Not more iPhones.

That you can't see or understand this exposes a major problem with your logic systems.

America does need those things, but it's not Apple's job to provide them. However, with Apple bringing in their overseas money and paying taxes on said money ($38 billion, according to the article) AND creating new jobs (those workers will now be paying taxes too), more money will be going to the government to fund those projects you speak of. The economy is not some zero sum game, where if Apple increases supply of iPhones, money has to be taken away from somewhere else; new wealth is being created in this situation, not being diverted away from public projects towards iPhones, as you suggest.

So now we're only talking about Apple?  Not corporations in general?  And no, it's not a zero sum game.  Nor is it an infinite sum game as you suggest.  Economic growth potential is not infinite.  And one of the great limits to economic growth is the quality of infrastructure available to facilitate economic growth.  So yes, it is entirely possible that an economy is inefficiently giving excess profits to corporations at the cost of infrastructure maintenance which reduces potential future economic growth.  Beyond that, the distribution of wealth to the consumers in an economy is a major limiting factor in their ability to purchase the products and services that might contribute to innovation, progress, and economic growth.  If you give one guy billions and 100,000 people some debt owed to the billion aire and a wink and a smile... things won't go well for very long.

[Ban my account ffs!]

Democrats look around and see coporations flush with cash, the ultra wealthy doing better than ever, low unemployment, and low borrowing costs... as well as crumbling infrastructure.... and they come to the conclusion

"Hey guys... maybe we should update our infrastructure and pay for it with some borrowing and taking a little more from those who are doing so well.  This will ultimately pay off for everyone!"

The Republicans look at the same things and say

"We need less gubmint and MORE JOBS for MURICANS!  A LAZER FOCUS on JOBS!  BENGHAZI!  THAT WITCH!"

 What an inept club of fools.

[Bismarck]

Democrats look around and see coporations flush with cash, the ultra wealthy doing better than ever, low unemployment, and low borrowing costs... as well as crumbling infrastructure.... and they come to the conclusion

"Hey guys... maybe we should update our infrastructure and pay for it with some borrowing and taking a little more from those who are doing so well.  This will ultimately pay off for everyone!"

The Republicans look at the same things and say

"We need less gubmint and MORE JOBS for MURICANS!  A LAZER FOCUS on JOBS!  BENGHAZI!  THAT WITCH!"

 What an inept club of fools.

Both parties seem to have support for an infrastructure bill. The democrats see these things and then forget about the economy and yell Trump is racist over and over again.

[Ban my account ffs!]

Democrats look around and see coporations flush with cash, the ultra wealthy doing better than ever, low unemployment, and low borrowing costs... as well as crumbling infrastructure.... and they come to the conclusion

"Hey guys... maybe we should update our infrastructure and pay for it with some borrowing and taking a little more from those who are doing so well.  This will ultimately pay off for everyone!"

The Republicans look at the same things and say

"We need less gubmint and MORE JOBS for MURICANS!  A LAZER FOCUS on JOBS!  BENGHAZI!  THAT WITCH!"

  What an inept club of fools.

Both parties seem to have support for an infrastructure bill. The democrats see these things and then forget about the economy and yell Trump is racist over and over again.

Do you have any specific examples where Democrats "forgot about the economy"?

If you say "BUT MUH RURAL AREAS!"  Who's in control there?

Perhaps you would cite the inner cities.  This has been studied to death.. and yeah, racism plays a huge role.  But that is changing.  Living in the inner city ain't what it used to be!

[Virginiá]

Both parties seem to have support for an infrastructure bill. The democrats see these things and then forget about the economy and yell Trump is racist over and over again.

Like what, though? I do recall seeing last month talk of $200 billion in public-private partnerships, which to me sounds like Republicans want to light billions on fire over the hope and prayers that the private sector will just be incentivized to do the projects this country desperately needs, and not, say, build a bunch of toll roads, use the money to finance existing projects they were already doing, and building other things that we don't need but are more profitable for said companies.

First, we need way more than $200 billion. Second, we can't afford to just waste that money either, and third, making it a condition that we finance 200 billion in infrastructure spending by making cuts elsewhere is not going to fly. Republicans are blowing an opportunity to finance cheap infrastructure through a gas tax raise and low interest rates. If there was ever a time to dump a trillion+ into desperately needed infrastructure projects, it's now.

[RFayette]

So proud of the GOP. More high-paying jobs for Northern Virginia and Silicon Valley. Thank you Paul Ryan

[UncleSam]

I mean maybe the biggest part of this is that it cuts down the projected deficit due to the tax bill by almost 60 billion hen taking future value into account (which it is strictly incorrect, from a financial perspective, not to do).

I always thought that repatriated funds would be one of the biggest potential pluses of the tax bill and this is a big boost in that direction. It's pretty pathetic that Democrats still want to argue this is a bad thing as if more jobs and stronger economic growth are bad things. Surely someone would prefer a job paying 10$ an hour to the promise that, if they had a job, they would make 15$. I still think that Dems should've just gotten some concessions for low income families and on the top personal income tax bracket - those were areas where big wins could've been had, and would've totally stunted any boost Trump would've gotten from this because it would be seen as a bipartisan bill. Instead, Dems gave Trump a (potential) out to be able to point to strong economic growth for the next year and claim it as his own. If they don't win by as much as they should (or would right now) in November, it'll be the tax bill vote that'll be the reason for that. Literally everything else (outside of foreign policy, maybe) has been a total disaster under Trump, particularly healthcare, education, scientific and environmental policy, and race relations. To give Trump such a compelling argument when the result was so predictable was borderline political malfeasance, and while Dems should still be able to do well, why give Trump an out when he is floundering on all idea and you already know you're going to take a loss?

Nancy Pelosi's 'Armageddon' comment has got to be the dumbest thing said by a politician since at least read my lips: no new taxes.

Also the projections are that this money will go towards 20,000 jobs, not that other hiring will stall lol.

[BudgieForce]

I mean maybe the biggest part of this is that it cuts down the projected deficit due to the tax bill by almost 60 billion hen taking future value into account (which it is strictly incorrect, from a financial perspective, not to do).

I always thought that repatriated funds would be one of the biggest potential pluses of the tax bill and this is a big boost in that direction. It's pretty pathetic that Democrats still want to argue this is a bad thing as if more jobs and stronger economic growth are bad things. Surely someone would prefer a job paying 10$ an hour to the promise that, if they had a job, they would make 15$. I still think that Dems should've just gotten some concessions for low income families and on the top personal income tax bracket - those were areas where big wins could've been had, and would've totally stunted any boost Trump would've gotten from this because it would be seen as a bipartisan bill. Instead, Dems gave Trump a (potential) out to be able to point to strong economic growth for the next year and claim it as his own. If they don't win by as much as they should (or would right now) in November, it'll be the tax bill vote that'll be the reason for that. Literally everything else (outside of foreign policy, maybe) has been a total disaster under Trump, particularly healthcare, education, scientific and environmental policy, and race relations. To give Trump such a compelling argument when the result was so predictable was borderline political malfeasance, and while Dems should still be able to do well, why give Trump an out when he is floundering on all idea and you already know you're going to take a loss?

Nancy Pelosi's 'Armageddon' comment has got to be the dumbest thing said by a politician since at least read my lips: no new taxes.

Also the projections are that this money will go towards 20,000 jobs, not that other hiring will stall lol.

That would require trickle down economics to work. Outside of good publicity, a dollar raise at Walmart doesnt make up for the fact that its still not enough to live decently.

[OSR stands with Israel]

Just another success of the tax reform. It's almost like letting companies keep more of their own money allows them to actually use that money towards productive ends in the economy. Gee, how strange...

Yeah... the problem is... America needs more roads, bridges, upgraded rails, air traffic control upgrades, properly maintained dams and waterways, replacement of huge numbers of sewer and water systems, electrical grid upgrades, school building upgrades, home energy efficiency upgrades, healthcare options for the poor so they don't cost more down the road...  

Not more iPhones.

That you can't see or understand this exposes a major problem with your logic systems.

Since iPhones aren't made by the government, there is no problem with that.


Its the government's job to rebuild our infrastructure not Apple's.


Also Apple is going to pay 38 billion in taxes of the money they are bringing back from overseas. 38 billion in infrastructure spending would make many states infrastructure much better.