Tim Cook "Not Religious" About Holding Cash; 66% of Apple's $81B in Cash is Held Overseas

It's a frequent parlor game amongst Apple analysts and watchers to guess and suggest and hypothesize what Apple should do with its huge and growing cash reserves. As of September 24, 2011, Apple is sitting on $81.57 billion in cash. Apple added $5.4 billion to its cash reserves in the last 3 months, and that would have been significantly higher if, as Horace Dediu points out, not for the more than 6,000 Nortel patents Apple purchased the rights to.

To be more precise, Apple CFO Peter Oppenheimer oversees $9.815 billion in cash and cash equivalents, $16.137 billion in short-term marketable securities, and $55.618 billion in long-term marketable securities. In the earnings call with analysts this afternoon, Apple CEO Tim Cook said the cash wasn't "burning a hole in our pocket" and that the company invested very conservatively and didn't want to do "silly things" with the money.

pudong
Cook noted that in recent months Apple had acquired several companies, acquired intellectual property, invested in the supply chain, and invested in new stores. In his first comments as CEO about the cash pile Cook said he wasn't "religious about holding or not holding cash," but Apple would continually ask ourselves what is in Apple's best interest and act accordingly.

"It's a topic for the board on an ongoing basis and we will continue to discuss it," Cook said in response to an analyst question. Apple CFO Peter Oppenheimer jumped in after Cook was finished answering the question, to point out that more than two-thirds of Apple's $81 billion cash pile was sitting offshore.

The question of offshore cash is an important one, as explained by Reuters:

The U.S. government taxes U.S. businesses on income earned worldwide, but allows them to defer taxes on the money until it is brought back to the United States. As a result, American corporations like to keep the money abroad, particularly as they increase investment overseas.

A number of companies, led by Apple, Google and Cisco have been pushing for a tax holiday on overseas cash holdings to allow the companies to repatriate the money to the United States tax-free.

Popular Stories

iPhone 17 Pro Blue Feature Tighter Crop

iPhone 17 Pro Launching in Three Months With These 12 New Features

Saturday June 14, 2025 5:45 pm PDT by
The iPhone 17 Pro and iPhone 17 Pro Max are three months away, and there are plenty of rumors about the devices. Below, we recap key changes rumored for the iPhone 17 Pro models as of June 2025:Aluminum frame: iPhone 17 Pro models are rumored to have an aluminum frame, whereas the iPhone 15 Pro and iPhone 16 Pro models have a titanium frame, and the iPhone X through iPhone 14 Pro have a...
iPadOS 26 App Windowing

Apple Explains Why iPads Don't Just Run macOS

Friday June 13, 2025 7:46 am PDT by
iPadOS 26 allows iPads to function much more like Macs, with a new app windowing system, a swipe-down menu bar at the top of the screen, and more. However, Apple has stopped short of allowing iPads to run macOS, and it has now explained why. In an interview this week with Swiss tech journalist Rafael Zeier, Apple's software engineering chief Craig Federighi said that iPadOS 26's new Mac-like ...
iphone 16 pro models 1

17 Reasons to Wait for the iPhone 17

Thursday June 12, 2025 8:58 am PDT by
Apple's iPhone development roadmap runs several years into the future and the company is continually working with suppliers on several successive iPhone models simultaneously, which is why we often get rumored features months ahead of launch. The iPhone 17 series is no different, and we already have a good idea of what to expect from Apple's 2025 smartphone lineup. If you skipped the iPhone...
Logitech Logo Feature

Logitech Announces Two New Accessories for WWDC

Friday June 13, 2025 7:22 am PDT by
Alongside WWDC this week, Logitech announced notable new accessories for the iPad and Apple Vision Pro. The Logitech Muse is a spatially-tracked stylus developed for use with the Apple Vision Pro. Introduced during the WWDC 2025 keynote address, Muse is intended to support the next generation of spatial computing workflows enabled by visionOS 26. The device incorporates six degrees of...
iOS 26 Screens

Here Are All the iOS 26 Features That Require iPhone 15 Pro or Newer

Thursday June 12, 2025 4:53 am PDT by
With iOS 26, Apple has introduced some major changes to the iPhone experience, headlined by the new Liquid Glass redesign that's available across all compatible devices. However, several of the update's features are exclusive to iPhone 15 Pro and iPhone 16 models, since they rely on Apple Intelligence. The following features are powered by on-device large language models and machine...
CarPlay Liquid Glass Dark

Apple to Let iPhone Users Watch Videos on CarPlay Screen While Parked

Thursday June 12, 2025 6:16 am PDT by
Apple this week announced that iPhone users will soon be able to watch videos right on the CarPlay screen in supported vehicles. iPhone users will be able to wirelessly stream videos to the CarPlay screen using AirPlay, according to Apple. For safety reasons, video playback will only be available when the vehicle is parked, to prevent distracted driving. The connected iPhone will be able to...
iOS 26 on Three iPhones

Hate iOS 26's Liquid Glass Design? Here's How to Tone It Down

Wednesday June 11, 2025 4:22 pm PDT by
iOS 26 features a whole new design material that Apple calls Liquid Glass, with a focus on transparency that lets the content on your display shine through the controls. If you're not a fan of the look, or are having trouble with readability, there is a step that you can take to make things more opaque without entirely losing out on the new look. Apple has multiple Accessibility options that ...
iOS 26 Feature

Apple Seeds Revised iOS 26 Developer Beta to Fix Battery Issue

Friday June 13, 2025 10:15 am PDT by
Apple today provided developers with a revised version of the first iOS 26 beta for testing purposes. The update is only available for the iPhone 15 and iPhone 16 models, so if you're running iOS 26 on an iPhone 14 or earlier, you won't see the revised beta. Registered developers can download the new beta software through the Settings app on each device. The revised beta addresses an...
Mac Studio Feature

Apple Begins Selling Refurbished Mac Studio With M4 Max and M3 Ultra Chips at a Discount

Thursday June 12, 2025 10:14 am PDT by
Apple today added Mac Studio models with M4 Max and M3 Ultra chips to its online certified refurbished store in the United States, Canada, Japan, Singapore, and many European countries, for the first time since they were released in March. As usual for refurbished Macs, prices are discounted by approximately 15% compared to the equivalent new models on Apple's online store. Note that Apple's ...

Top Rated Comments

hobo.hopkins Avatar
178 months ago
It's too bad that the American tax system incentivises not bringing the money back into the United States.
Score: 23 Votes (Like | Disagree)
42streetsdown Avatar
178 months ago
They could spend some of that on building an apple store closer to me.
Score: 17 Votes (Like | Disagree)
hobo.hopkins Avatar
178 months ago
So you would rather they not pay taxes on earnings?

Did I say that? I just said that it's a shame that the tax system doesn't incentivise bringing back money from overseas. Incentives could be a temporary lower rate to provide instant benefits, for example. I didn't say they shouldn't pay any taxes; I believe that's creating a false dilemma.
Score: 12 Votes (Like | Disagree)
Robbrinson Avatar
178 months ago
Why pay the 12 big ones to our Govt? They will just stimulate a few ill conceived green energy initiatives, bail out a bank, or get a new campaign bus from Canada (sorry McFrankshe). Just use it to delevop a smaller iPad.
Score: 7 Votes (Like | Disagree)
Juan007 Avatar
178 months ago
All of this money was earned overseas, ex. China sales. Why should Apple pay US tax for goods made and sold in China? The net effect is that the money stays offshore and never gets invested back into the US. A disaster of a tax system.
Score: 7 Votes (Like | Disagree)
TheMirrorsTruth Avatar
178 months ago
Funny how the U.S. can tax revenue that never actually existed in the U.S. Gotta love "repatriation!"
Score: 7 Votes (Like | Disagree)