“We also managed to rack up $195,000 in legal bills for a deal that might not close,” he says. “Our runway went from a comfortable [approximately] 16 months to 8.”
While Hodge does not disclose what sums Apple eventually paid for the firm, he does reveal some of his costs. Simply negotiating with Apple required legal advice that cost dearly and ate into Embark’s reserves. It ate into money that Hodge describes as the company’s runway, the funds it had to keep going while it was growing.
AppleInsider has spoken off the record with other firms who have been through this process and they confirm how constantly uncertain it is. Apple has a history of looking at multiple companies for similar purposes, such as when the original iTunes was made from SoundJam instead of Panic Software’s Audion.
Hodge reports that Apple even bought one of his firm’s rivals.
“As I was in a meeting with the [Mergers & Acquisitions] team at One Infinite Loop,” he continues, “the news leaked that Apple bought our competitor Hop Stop. My phone started blowing up. What did this mean for us?”