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Apple's Color Labs Acquisition Involves Only Color's Engineering Team
AllThingsD now provides significantly more clarity to situation, revealing that Apple is only acquiring Color's 20-member engineering team for a relatively small sum.
What’s really happening is that Color’s engineering team — about 20 people, comprising almost the entire company — is being “acqhired” by Apple at what’s being called a “nominal” price of something like $2 million to $5 million, according to multiple sources familiar with both sides of the situation. To repeat, there are no “double-digit” millions involved, according to many people familiar with the deal.Apple is reportedly bringing Color's engineers on board to work on cloud-related projects.
Apple is not buying Color’s technology, intellectual property, domain names or liabilities. Those are being left with the company, which still has considerable cash in the bank — something like $25 million — and is going to be wound down.
The report notes that there is a significant amount of bad blood between the various parties involved at Color and even Apple, contributing to the mass confusion yesterday about what exactly is happening with Color. Apple and Color have yet to comment on the deal.