Bloomberg Terminal – this is the major source of revenue for Bloomberg LP, which according to Forbes has a 35% cash flow margin. Bloomberg leases these terminals to subscribers around the world.
Bloomberg has more than 10,000 employees around the world, but remains a closely held Delaware Limited Partnership.
Bloomberg also operates an international Bloomberg news service that is available on radio, television, the Internet and in print. Bloomberg offers many extremely useful financial tools, such as its Bloomberg Mortgage Calculator.
Michael Bloomberg has remained CEO of Bloomberg until 2001, when he relinquished his position to Lex Fenwick in order to run for mayorship of New York. Nonetheless, Bloomberg retains 92% ownership of Bloomberg.
Bloomberg and Merrill Lynch
Merrill Lynch used to own 20% of Bloomberg with its $30 million investment in the early stages of the company. Merrill was the first customer and investor in Bloomberg. Merrill bought Bloomberg’s first terminals and made with an approximate investment of $30 million for 20 percent of Bloomberg.
In 2008, Merrill sold its 20% stake back to Bloomberg for $4.43 billion. This represents a 14700% non inflation-adjusted return for Merrill over 27 years.