iPhone Proves Lucrative for Japan’s Softbank
The iPhone and Asia have become intertwined lately, with Apple making efforts to expand in China. Now it emerges that the iPhone has become quite lucrative for Japanese phone company Softbank as the company has announced that its third-quarter profits doubled, thanks in no small part to sales of the wildly successful mobile device.
The massive increase in profits, the company said, was due in large part to sales of both the iPhone and the iPad. The company’s net profit for the quarter came in at $65.9 billion yen, or approximately $724 million, as compared to about half that the year prior.
Sales for the quarter increased by 7 percent, coming in at 932.7 billion yen, or about $10.2 billion.
News about Softbank–owned by Masayoshi Son, a Japanese billionaire–is relevant to U.S. cell phone customers as the company is attempting to finalize its acquisition of a 70 percent stake in Sprint-Nextel, a $20 billion move which is awaiting approval from U.S. regulatory authorities.
If approved, the Softbank acquisition would be the largest foreign acquisition by a Japanese company. The transaction is expected to close later this year, perhaps as soon as June.
At the end of 2012, Softbank boasted 31.3 million subscribers. If the company’s acquisition of Sprint-Nextel goes through, will it bring the secrets that have worked for it in Japan to the United States?
Perhaps a more pressing question would be: will Softbank bring the adorable talking dog that adorns its Japanese television commercials to the United States as well?
[via: Miami Herald]
Image Credit: Bloomberg