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Goldman Sachs CEO Hints at Potential End to Apple Card Partnership Before 2030

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Goldman Sachs CEO David Solomon indicated that the company’s credit-card partnership with Apple, currently set to run through 2030, might not last until the end of the contract. During an earnings call on Wednesday, Solomon noted that while there is an agreement in place, the partnership could end before 2030. He mentioned that the Apple Card has negatively impacted Goldman’s return on equity, with a decline of 75 to 100 basis points last year. However, Solomon expects this impact to improve by 2025 and 2026.

The business, which falls under Goldman’s platform solutions unit, reported an $859 million annual net loss in 2024. Reports also suggest that JPMorgan Chase is in discussions with Apple to potentially replace Goldman Sachs as the tech giant’s credit-card partner.

 

Apple Negotiates with Barclays and Synchrony to Replace Goldman Sachs in Credit Card Partnership

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Apple is currently in talks with Barclays and Synchrony Financial to replace Goldman Sachs as its credit card partner, according to sources familiar with the matter. This move comes as Goldman Sachs steps back from its consumer finance ambitions, following the launch of the Apple Card in 2019. Barclays and Synchrony are now vying for the opportunity to partner with one of the world’s most recognizable brands, although the original terms of the deal were viewed as risky and unprofitable by several financial firms.

Negotiations between Apple and Barclays have been ongoing for several months, but sources suggest that it could take some time to finalize a deal. JPMorgan Chase has also been in talks with Apple regarding the partnership. Despite the credit card agreement between Apple and Goldman Sachs lasting until 2030, Goldman’s CEO David Solomon mentioned during an earnings call that the partnership may end sooner than expected.

Goldman Sachs has been scaling back its consumer business after spending billions to cover potential losses. In 2024, the company transferred its General Motors credit card business to Barclays, allowing the latter to expand its card offerings in the U.S. This shift aligns with Goldman’s decision to reduce its retail ambitions, focusing instead on its traditional investment banking and trading operations.