Will Apple Make a Big Acquisition to Enter the 3D Printing Market?

Like this? Share it.TwitterFacebookGoogle+ReddittumblrbufferEmail

Apple 3D Printing

Over at Seeking Alpha, Matt Cilderman thinks that Apple should make a move into 3D printing. Specifically, his target of choice is 3D Systems.

3D Systems has a market capitalization of $1.5 billion. For the first quarter of 2012, on a non-GAAP year over year basis, revenues increased 63%, gross profit grew 67%, and earnings per share rose 47%.

They expect full year 2012 revenue to be in the range of $330-360 million and non-GAAP EPS to be from $1.00 to $1.25 (see April 2012 Investor Presentation).

Why should Apple enter the 3D printing market? Cilderman shares 3 reasons:

  1. Jobs loved disruptive technologies and with the iPod, iPhone, and iPad, he changed the music, movie, telecommunications, and computer industries. 3-D printing may not be there yet, but this is the next, big disruptive technology.
  2. Apple has a ton of cash on their balance sheet. They could purchase 3D Systems (market capitalization of $1.5 billion) with their spare pocket change. Then, spend the time and money introducing them to Apple’s corporate culture, redesigning the software and hardware to fit Apple’s goals and style.
  3. 3-D printing and its future also fit right in with Apple’s business model.

Apple is often not the pioneer, but once they enter a market, they build products that are “insanely great” as compared to the competition. Apple has a marketplace for digital goods (music, movies, and apps); perhaps 3D printable designs would be a natural extension. Apple’s products can be used to generate 3D printable designs, as shown by the 123D Catch app.

Read the full editorial at Seeking Alpha.

Apple photo by aditza121 used under Creative Commons license.

Like this? Share it.TwitterFacebookGoogle+ReddittumblrbufferEmail

One Response to Will Apple Make a Big Acquisition to Enter the 3D Printing Market?

  1. [...] Will Apple Make a Big Acquisition to Enter the 3D Printing Market? [...]

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>