Google Parks Cash Overseas For Acquisitions

(RTTNews) - Internet giant Google Inc. (GOOG, GOOGL) is keeping a good amount of money overseas so that it can utilize about $30 billion for acquisitions, reports said Tuesday.

The company generates around half of its revenue abroad, and avoids paying taxes in the U.S. by keeping those earnings overseas.

Google reportedly said in a regulatory filing that it needs the cash for deals, amid increased competition overseas. The company is likely to require $20 billion to $30 billion of foreign earnings to fund such acquisitions.

The company also needs $2 billion to $4 billion for capital expenditures, including data centers and other operations, as well as $12 billion to $14 billion for a research-and-development cost-sharing agreement.

GOOG settled up 0.2 percent on Tuesday at $529.77 and GOOGL closed up 0.3 percent at $540.39.