Apple Card's loss is severe. Goldman Sachs Group, Inc. (GS.US) may "break up" with Apple Inc. (AAPL.US) early.

Goldman Sachs Group, Inc. (GS.US) CEO David Solomon said during the fourth quarter earnings conference call on Wednesday that the credit card partnership between Goldman Sachs Group, Inc. and Apple Inc. (AAPL.US) could potentially end before the contract expires in 2030. Solomon said, "Our partnership with Apple Inc. will continue until 2030, but it may not continue beyond that timeframe." Last year, the Apple Card lowered the return on equity of Goldman Sachs Group, Inc. by 75 to 100 basis points, and this business falls under the platform solutions division of Goldman Sachs Group, Inc., which reported a net loss of $859 million for the year 2024. However, "this situation is expected to improve in 2025 and 2026," Solomon added. "The most important thing is that the Apple Card's performance is continuously improving and moving towards profitability. Therefore, the improvement in the profitability of this business has an impact on the short-term drag." It was reported in September last year that JPMorgan Chase (JPM.US) was in negotiations with Apple Inc. to take over this iPhone manufacturer's credit card program from Goldman Sachs Group, Inc. On Wednesday, Goldman Sachs Group, Inc. reported strong fourth-quarter and full-year earnings, benefiting from strong net interest income, a rebound in investment banking fees, and strong growth in assets and wealth management business.