Microsoft has become the most valuable company in the world this Thursday. Its rise on the stock market and a decline of Apple, until recently the undisputed leader, have been enough to grant the company founded by Bill Gates and directed by Satya Nadella the world throne by market capitalization, with a total of 2,875 billion dollars compared to 2,871 billions of its rival. Microsoft has been closing the gap with Apple until it surpasses it thanks in part to the success of its commitment to artificial intelligence with OpenAI. Added to this is the good evolution of its other businesses. However, minutes later, Apple has recovered and surpassed Microsoft again. Both firms are almost evenly matched at around 2.9 billion dollars (2.65 billion euros).
Apple, founded in 1976, and Microsoft, in 1975, have been historical rivals since their founding by Steve Jobs and Bill Gates and Steve Wozniak, respectively. Apple accused Microsoft of having copied the style of its computers with its drop-down menus and ease of use. The computer world was divided between both. Apple was behind for a long time and went through an acute crisis. However, with the return of Steve Jobs and the launch of the pioneering iPhone, it ended up surpassing Microsoft in 2010 by stock market value. It has remained ahead almost uninterruptedly. During the pandemic there were several occasions when Microsoft surpassed Apple, the last in 2021, but the company led by Tim Cook has quickly regained first place in all of them.
Microsoft leads the generative artificial intelligence race with OpenAI. He benefits from his agreement with the company run by Sam Altman and on whose board he joined as an observer. Microsoft is the main shareholder of OpenAI's commercial subsidiary, although its structure as a non-profit organization complicates the group's governance. In any case, Microsoft has been incorporating the available advances in artificial intelligence into its products and services and, at the same time, has been providing large-scale cloud computing services associated with the enormous computing demands of the new technology.
The weakness in Apple shares, on the other hand, comes after a series of analyst downgrades that have fueled fears that sales of the iPhone, its most profitable product, would remain weak, especially in China, its main market. . Apple also sees a threat looming over its services business due to the trial for possible abuse of monopoly against Google, which could lead to the breaking of its lucrative agreements to give it priority as the default search engine for its mobile phones, tablets and computers.
Microsoft started its 2023/204 financial year with a brilliant quarter. The company's revenue and profits soared between July and September compared to the same period last year thanks to the growth of its cloud computing business, which has become the driver of revenue. The technology company increased its turnover by 13%, to 56,517 million dollars (about 53,350 million euros at the current exchange rate). Profits, for their part, increased by 27%, to a record of $22,291 million, exceeding analysts' forecasts.
Behind Microsoft and Apple, the next most valuable private companies in the world are also American technology companies. The third is Google, with 1.8 billion dollars; followed by Amazon, with 1.6 billion, and the microprocessor designer Nvidia, another big winner in the race for artificial intelligence, with 1.35 billion dollars.
Follow all the information Economy and Business in Facebook and xor in our weekly newsletter
The Five Day agenda
The most important economic quotes of the day, with the keys and context to understand their scope.
RECEIVE IT IN YOUR EMAIL
#Microsoft #overtakes #Apple #company #highest #stock #market #world
