Goldman Mulls leaves partnership with Apple to further withdraw from consumer sector

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Goldman Sachs
,

continuing its plans to withdraw from its consumer lending business, has considered whether to end its partnership with

Apple

and is in talks with

American Express

to resume his

Apple

credit card and other initiatives, reported the Wall Street Journal.

The thrust by

Goldman Sachs

(GS) in consumer financial products began in 2016. However, the bank’s foray into consumer loans has been a loss-making business and chief executive David Solomon said last February that

Goldman Sachs

was to “consider strategic alternatives” for the company.

Goldman Sachs has lost more than $3 billion since 2020 in its consumer campaign.

In April, the Wall Street firm and tech giant Apple (AAPL) launched a high-yield savings account. Goldman Sachs also recently announced support for Apple’s “buy now, pay later” offering. But now, according to the Journal report, which cites people familiar with the discussions, Goldman Sachs is seeking to offload the Apple credit card partnership for

American Express

(AXP). The bank also discussed transferring its card partnership with

General Motors

(GM) to American Express or another issuer, some people told the Journal.

Apple is aware of the talks, which have been going on for months, the Journal reported. Apple should agree to a transfer, the Journal noted.

Barrons contacted Goldman Sachs and Apple for comment. AmericanExpress said Barrons Saturday that he would not comment on the report.

The Journal’s report was released after stock markets closed on Friday. Goldman Sachs ended the session down 0.2%. Apple closed with a 2.3% gain and its market cap crossed $3 trillion, becoming the first company in the world to close at that valuation.

Write to Joe Woelfel at joseph.woelfel@barrons.com