Apple, Alphabet, Microsoft, Amazon, and Facebook have become the most valuable public companies in the world.

Olivia London

2017-05-13 07:28:00 Sat ET

America's Top 5 tech firms, Apple, Alphabet, Microsoft, Amazon, and Facebook have become the most valuable publicly listed companies in the world. These tech firms are worth $2.9 trillion in total market capitalization, generate about $150 billion annual net income, and hoard $350 billion in net cash.

In fact, these tech giants hold about 80% of their cash stockpiles in offshore tax havens. In addition to their precautionary motive to maintain massive cash to safeguard against a potential global credit crunch and refinancing risk due to short debt maturity, there is a genuine and legitimate reason for these tech firms to engage in active, effective, and legitimate tax avoidance.

In the next few years, these tech firms plan to implement share repurchases to return decent and generous cash distributions to their shareholders.

In the highly probable scenario of a key Trump tax holiday for U.S. multinational corporations, these tech firms can repatriate $300+ billion to invest in onshore job creation, technological innovation, and manufacturing automation without any draconian tax penalties. These tech firms may repatriate sufficient cash to invest in new acquisitions of smaller startups that specialize in a broad range of proprietary technologies such as artificial intelligence, digital media, robotic automation, and virtual reality.

 


If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.

Blog+More

The recent arrest of HuaWei CFO may upend the trade truce between America and China.

Fiona Sydney

2018-12-13 08:30:00 Thursday ET

The recent arrest of HuaWei CFO may upend the trade truce between America and China.

The recent arrest of HuaWei senior executive manager may upend the trade truce between America and China. At the request of several U.S. authorities, Canadi

+See More

House of Representatives considers a government expenditure bill with border wall finance and so sets up a shutdown stalemate with Senate.

Laura Hermes

2018-12-23 13:39:00 Sunday ET

House of Representatives considers a government expenditure bill with border wall finance and so sets up a shutdown stalemate with Senate.

The House of Representatives considers a government expenditure bill with border wall finance and therefore sets up a shutdown stalemate with Senate. As fre

+See More

We may need to reconsider the new rules of personal finance.

Daphne Basel

2019-03-05 10:40:00 Tuesday ET

We may need to reconsider the new rules of personal finance.

We may need to reconsider the new rules of personal finance. First, renting a home can be a smart money move, whereas, buying a home cannot always be a good

+See More

Main reasons for share repurchases

Apple Boston

2022-09-25 09:34:00 Sunday ET

Main reasons for share repurchases

Main reasons for share repurchases Temporary market undervaluation often induces corporate incumbents to initiate a share repurchase program to boost the

+See More

Platform enterprises leverage network effects, scale economies, and information cascades to boost exponential user growth.

Fiona Sydney

2020-05-28 15:37:00 Thursday ET

Platform enterprises leverage network effects, scale economies, and information cascades to boost exponential user growth.

Platform enterprises leverage network effects, scale economies, and information cascades to boost exponential business growth. Laure Reillier and Benoit

+See More

AYA finbuzz podcast offers fresh insights into the latest stock market topics and economic trends for better stock investment decisions.

Amy Hamilton

2019-08-31 14:39:00 Saturday ET

AYA finbuzz podcast offers fresh insights into the latest stock market topics and economic trends for better stock investment decisions.

AYA Analytica finbuzz podcast channel on YouTube August 2019 In this podcast, we discuss several topical issues as of August 2019: (1) Warren B

+See More