The most relevant question about Apple today

Horace Dedieu:

In 2012 Apple’s capital spending has reached the extraordinary level of $10 billion/yr, higher than all but the most capital-intensive semiconductor manufacturers. This is unusual for Apple as it was less than $1 billion in the year before the iPhone launched. It’s also unusual for Apple’s competitors in phones, PCs or tablets. It’s on a level matched only by semiconductor heavyweights. What is the purpose of this spending and what should we read into it leveling off at $10 billion for 2013?

To underline that again: Apple’s capital expenditure is massive. The next time that someone tells you that Apple isn’t spending enough, point them to this.