Analyst: Apple Interested in Buying TomTom

Apple may take over TomTom, the Dutch supplier of navigation apps, at least according to a Rabobank International analyst who claims he has knowledge about a takeover bid, Bloomberg reports.

iOS Maps
The stock price of TomTom has climbed 7.2% since October 19, and was trading up 6.2% this morning in Amsterdam. Furthermore, the stock price rose 33% in 2012, and now the Amsterdam-based company is valued at 906 million euros ($1.18 billion).

Despite the heavily criticized Maps information provided by TomTom, there is a 30% chance that Apple will purchase the company, mainly because of the company’s potential and know-how, a Netherlands-based analyst wrote today in a research report.

“TomTom needs the cash from Apple, and Apple needs the know-how of TomTom,” said Slob, who estimated Apple would pay a price of as much as 10 euros per share for the supplier. A takeover is also a “royal way out” for the Dutch company’s founders, said Hans Slob, who has a buy recommendation on TomTom and raised his share-price estimate by 38 percent to 5 euros, Bloomberg writes.

After Tim Cook admitting several times (see here and here) that Apple screwed up by releasing Maps too early, the pressure on the company is great, especially considering that a Google Maps app will be finding its way to consumers soon.

Technology enthusiast, rocker, biker and writer of iPhoneinCanada.ca. Follow me on Twitter or contact me via email: istvan@iphoneincanada.ca

  • “Slob”. An unfortunate last name.

  • gweed123

    Go for it, as long as they either:

    1) Keep a separate working (and regularly updated) version of the TomTom GPS app for iOS, or;
    2) Modify the Maps App turn-by-turn UI to reflect more of the TomTom style. By this I mean a bar either on the side or at the bottom showing distance to go, time to go, and ETA. Right now that is the only reason why I don’t use the Apple Maps app for turn-by-turn. That information isn’t visible at all when you’re in the app.

  • Apple_Sauce

    Google was finally approved by Apple to release its Google Maps app for IOS. It has voice navigation with a proven database. I will finally upgrade to IOS6 now. However it would be nice if the contacts could be configured to launch google maps rather than the joke native apple app. However Apple never did want users to have any control over their devices, I can’t see that Nazi control mentality changing now.