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by vGPU 912 days ago
Masimo is a $billions dollar company. The description of a “David and Goliath” battle is a tad misleading.

Sure, they acted scummy, but this is just typical BigCorp behavior where one huge corporation steals from another huge corporation.

3 comments

I disagree.

> Apple, of course, is one of the largest and most powerful companies in history — it’s the first to hit a $3-trillion — that’s trillion, with a T — market cap.

Apple is at least 100 times bigger than Masimo, 500x based on the numbers in the article. Sounds David and Goliath to me.

Add in the despicable behavior and you've got a story where real life is more than fiction could do.

It’s still a multi-billion dollar company. At that scale, you’re not facing any real disadvantages in the legal process even against Apple unless your company is actively losing money already and you won’t have enough cash on hand to continue operating. A quick looksie at their financials indicates that is not the case here.

I don’t want to say Market Cap doesn’t matter, but man is it irrelevant to most discussions and mainly of use to PR agents that want to spin a David and Goliath story.

Also, the issue at hand is a hobby for Apple, but it’s Massimo’s bread and butter, so they ought to be willing to spend accordingly on lawyers.
If both companies are able to afford tier A law firms then the relative size difference is meaningless. An extra trillion in market cap doesn't go any further in helping Apple's case.
This is literally standard corporate playbook behavior that has been utilized since the creation of corporations. In what possible way is it “more than fiction”?
They aren't the "little guy", but at the same time Apple is a $trillionX3 dollar company, so David vs Goliath seems pretty fair. It is a tiny operation relative to Apple.
What does the valuation of a company’s stock have to do with this? I keep hearing that Apple is a $3 trillion company but that is strictly a function of how investors value the company. Cash on hand is probably a better way to compare and here Apple is top dog I think.
Investors give Apple 500x more value than their opponent in this battle. I mean market cap (or maybe the more accurate enterprise value) is a pretty ordinary way or comparing the size of companies.

Apple could acquire Masimo in a stock swap and it would be barely a blip on their share dilution.

How much bigger than David was Goliath? 2x perhaps?

Apple is over 500x bigger than Masimo. 6B vs 3000B+

The amount I rounded down on Apple's market cap (32B) is over 5x bigger itself.

They're not even in the same ballpark to be just "two huge corporations"