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Comment by jcfrei | Hacker News Reader

that's not true. it is their money - the shareholders probably just wouldn't like the move and as a result, apples stock price would plummet (but that doesn't really need to bother them - it's not like somebody's just gonna buy the currently most expensive company in the world). however what would bother me more as an investor would be that apple apparently has no idea what to do with all that money (how about expanding R&D even more, like microsoft? and develop the next gen input devices (after touchscreens))

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  but that doesn't really need to bother them

Oh yes it better bother them. Cook and the Board have a fiduciary duty to the shareholders. They can't just go spending money however they want without regard to shareholder wishes or stock performance.

The shareholders of Apple are the owners of Apple. They get the final vote in the end, although it has to be translated through boards of directors and management.

The Apple Board of Directors has a fiduciary duty to investors. If they take action that causes the share price to fall dramatically, thereby losing investor value, you can be pretty sure the Board will not last very long so yes it would matter.

that's only true in theory. the largest investors are usually pension funds and in general they approve whatever the board recommends.

Then Apple can put their space exploration ambitions up to a vote of the shareholders, who are the ones who actually own Apple's money.

Hence today's dividend announcement.

Tim Cook said on the conference call that they have well more than enough to make strategic investments and to support growth.

Plus, a company's #1 goal is to create shareholder value.

A company? We're talking about Apple. I doubt Steve Jobs would have been caught dead saying that about Apple, and I hope that culture is continuing with Apple. Apple employees, notably Ives, have said over and over that their #1 goal is to create <magical products>.

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