GPS navigation and mapping specialist TomTom has been on the rise since Wednesday, after a Rabobank analyst suggested it could be bought by Apple.
While the glove of the Internet has just made available its Google Maps application for the iPhone, Apple intends to continue to strive to improve its highly criticized mapping service since its arrival in September, due to its too large approximations. And to get there, the Cupertino company may well be equipped with the technology developed by TomTom. This is in any case claimed by an analyst at Rabobank International who indicated on Wednesday that there is a 30% chance that the apple company will make a takeover offer from the manufacturer of GPS systems and cartography specialist, with a price that could reach 10 per share. Suddenly, the share price of the Dutch firm soared 7% on Wednesday.
This is not the first time that rumors of an Apple-TomTom merger have been reported. In early 2012, the Dutch firm's share price jumped for the same reason. A few months later, Apple entered into a partnership with TomTom so that the latter can provide it with its technology for navigation not in the new Maps application. according to this analyst, it could therefore be that this collaboration results in a takeover of TomTom by Apple. This strategy would allow Apple to get ahead by directly acquiring the necessary know-how, said this analyst, who adds that this acquisition would also allow Apple in plans to create new lucrative services from geolocation, which remains the basic idea.
Apple is actively working to improve its Maps service (the manager of the iTunes platform, Eddie Cue, has also been appointed to rectify the situation), but it will probably take some time before the service is up to the competition.
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