After Bidding Adieu To Goldman Sachs, Who Would Be Apple's Ideal Partner? Mark Gurman Predicts Chase Bank

Apple Inc. AAPL has reportedly decided to terminate its financial services partnership with Goldman Sachs Group Inc. GS. However, the question remains: Which company will fill the empty seat?

What Happened: Keen on dissociating its brand from a poor customer experience and an uncommitted partner, Apple proposed an early exit deal to Goldman Sachs, said Bloomberg’s Mark Gurman in his latest installment of the weekly “Power On” newsletter.  

However, with Goldman Sachs off the table, Apple is on the lookout for a new partner. 

See Also: Tesla CEO Elon Musk Is So Impressed By Apple’s iPhone 15 Photos That He Tells Tim Cook, ‘I’m Buying One’

JP Morgan Chase & Co., which initially declined the opportunity, could re-emerge as a potential successor, according to Gurman. 

“The name that has been discussed publicly the most so far has been AmEx,” Gurman stated in his newsletter, adding, “But the bank that probably makes more sense as Apple’s new partner is Chase, which already has a significant relationship with the iPhone maker.”

As per Gurman, Chase already has a strong relationship with Apple, taking on roles such as managing Apple’s cash reserves, partnering for Apple Pay, and offering discounts on Apple products to its banking and credit card customers.

Why It Matters: This move to end the partnership with Goldman Sachs is not entirely surprising. Earlier reports revealed that Apple had already proposed a plan to dissolve the partnership over a 12 to 15-month period. 

The relationship between Apple and Goldman Sachs, which began in 2019 with the launch of the Apple Card, was fraught with delays, financial losses, and customer service issues. The credit card venture was a blow to Goldman’s financial standing, leading to billions of dollars in losses.

Earlier, it was reported that Goldman Sachs has been working on reducing its consumer businesses, which include its co-branded credit card programs with T-Mobile US Inc. and General Motors Co

Photo by Eui Jong Kim on Shutterstock

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This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.

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