Apple Relocates $9B Worth of iTunes Business to Ireland
Irish newspaper Business Post (via AppleInsider)reports that Apple has moved roughly $9 billion worth of iTunes intellectual property from Luxembourg to Ireland, the country where the European Commission has found the iPhone maker receiving “illegal tax aid.”
The move means millions of dollars of value-added tax revenue for Ireland and, of course, a cut to Luxembourg, where Apple has managed its online business during the past 12 years. The international iTunes office had been located at rue Sainte-Zithe in Luxembourg, but the unit was closed earlier in July, according to local media reports.
The move seems to be the next logical step for Apple, which has completed the merger of its Luxembourg-based operations with the Cork, Ireland-based distribution unit and prepared the ground for the relocation of its iTunes business.
Apple has received permission to expand its Hollyhill site, which is where the iTunes business is expected to be based. By moving its iTunes business to Ireland, Apple will control content for more than 100 countries from its Hollyhill campus.
The iPhone maker employs close to 6,000 people in Ireland, and the Hollyhill expansion will create another 1,000 jobs in the country.