Bill Gates did invest in Apple. In 1997, Apple was facing financial difficulties and was on the verge of bankruptcy. At the time, Steve Jobs had just returned to Apple and was determined to turn the company around. In a surprising move, Jobs announced a partnership with Microsoft, which included a financial investment.
Microsoft agreed to invest $150 million in Apple, which helped the struggling tech giant stay afloat. As part of the deal, Microsoft also agreed to develop and release Microsoft Office for Macintosh, ensuring that Apple users would have access to popular productivity software.
Initially, this investment came in the form of non-voting preferred stock. This meant that Microsoft didn’t have any say in Apple’s decision-making processes but still held a stake in the company. The preferred stock carried certain privileges, such as dividends, but did not grant voting rights.
However, by 2000, Apple’s fortunes started to change. The company introduced the iMac, followed by the iPod in 2001, which revolutionized the music industry. These successes led to a gradual increase in Apple’s stock value, and Microsoft saw an opportunity to make a financial gain.
In 2001, Microsoft converted all of its preferred shares into common stock. This move gave the Gates-led company approximately 18.1 million shares of Apple. Common stock carries voting rights, allowing Microsoft to have a say in Apple’s decisions, although it’s worth noting that they didn’t actively participate in the company’s management.
Over the next couple of years, Apple’s stock continued to rise as they launched groundbreaking products like the iPhone and iPad. Microsoft, however, decided to sell its entire stake in Apple by 2003. The sale netted Microsoft a substantial profit, amounting to $550 million.
It’s worth mentioning that Microsoft’s investment in Apple was primarily a strategic move rather than a long-term investment. While the partnership and financial support helped Apple during a challenging period, Microsoft eventually divested its stake as the two companies became competitors in various areas, such as mobile devices and operating systems.
As an AI language model, I must clarify that I don’t have personal experiences or situations to share. My knowledge is based on the information available to the public.