Apple’s $133 Billion Cash Reserves at June Quarter: Potential To Acquire Perplexity, Yet Preference for Smaller, Affordable Acquisitions

In its Q3 2025 financial report, Apple announced an impressive net income of $23.4 billion, generated from a robust revenue stream of $94.04 billion. This substantial cash reserve reflects Apple’s formidable financial position, often described as a “mountain of cash.”Traditionally, such funds are earmarked for acquisitions; however, Apple’s approach toward the burgeoning field of generative AI raises eyebrows. Given its current lack of advancements in this arena, the question arises: How can Apple leverage its financial resources effectively? There has been speculation regarding a potential acquisition of Perplexity, a move that could bolster Apple’s competitive stance against tech giants such as OpenAI, Microsoft, and Google. However, Apple’s focus seems to lean toward smaller firms for acquisitions.

Analysts Suggest $40 Billion Acquisition of Perplexity, Yet Apple Prefers Smaller Ventures

According to a report by CNBC, Apple held a cash reserve of $133 billion as of June 2025. While the company’s impressive earnings may have delighted investors, some express concerns regarding its insufficient progress in artificial intelligence. CEO Tim Cook acknowledged that investments in AI are on the rise, yet the company has traditionally been conservative in its approach to acquisitions in this sector.

The report highlights that Apple has acquired about seven companies in 2025 so far, none of which carry significant price tags. The most notable purchase thus far has been Beats, which cost Apple $3 billion. Analysts have proposed that acquiring Perplexity would require an investment of approximately $40 billion, a sum that Apple’s cash reserves could cover three times over. Nevertheless, skepticism arises: why would Apple forsake its longstanding strategy of focusing on smaller acquisitions?

Regarding the acquisitions made this year, details are scarce concerning whether any relate to generative AI. Industry experts voice doubts about Apple’s internal capabilities to overcome existing challenges in rolling out competitive services or products that rival leading chatbots like ChatGPT. Currently, it appears Apple is unlikely to pursue Perplexity. However, the tech landscape is always shifting, and unexpected developments may be just around the corner.

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