The financial relationship between Apple and Apple Card financial backer Goldman Sachs may be coming to an end soon. Goldman’s CEO confirmed the possibility of a premature conclusion to the Apple partnership during a recent earnings call. Apple Card-Goldman Sachs partnership possibly ‘won’t continue’ all the way through the current contract
Per Reuters, Goldman Sachs CEO David Solomon offered the following comment:
“We have a contract with Apple to run that partnership until 2030, although there’s some possibility that it won’t continue until that time frame.”
The Apple Card dragged down Goldman’s return on equity by 75 to 100 basis points in 2024, but “that will improve in 2025 and 2026,” Solomon added. Last fall, a Wall Street Journal report pointed to significant losses Goldman Sachs was facing in its consumer business—which includes Apple Card—as a key reason for the rumored partnership break.
Apple, in turn, has released only statements that highlight the ongoing commitment to ‘providing an incredible experience’ for Apple Card customers and has never pointed out whether the relationship with Goldman Sachs might be changing.
JPMorgan Chase is reportedly a prime contender to take over the business from Goldman as part of a new Apple partnership, but as with all of these details, nothing official has been shared yet.
Stay tuned for additional details as they become available.
Via 9to5Mac, Reuters, and the Wall Street Journal