Microsoft is gradually catching up with Apple in the battle for the title of the most valuable American company. With a value of $2.73 trillion, Microsoft is now only $100 billion behind Apple, which has a value of $2.83 trillion. This reduction in the difference is mainly due to the excellent performance of Microsoft over the past year, which is the result of increased spending by companies and the development of cloud services. On the other hand, Apple is facing challenges arising from increased competition in China and macroeconomic pressure that affects consumer spending. The competition between these tech giants for the top spot is not new, but Microsoft’s growth in cloud computing and artificial intelligence has allowed it to make up for losses and surpass Apple.
The value of Microsoft’s shares increased by 57% in 2023, surpassing the growth in the value of Apple’s shares, which stood at 48%. Furthermore, compared to Apple, Microsoft incurred smaller losses in early 2024. The increased valuation of Microsoft can be attributed to the success of the Azure platform, responsible for cloud services, which are gaining popularity among companies and benefiting from the popularity of artificial intelligence. This growth has allowed Microsoft to surpass Alphabet in the cloud sector.
While Apple has experienced stagnation and declining revenues in recent quarters, Microsoft continues to gain value. The competition in China and macroeconomic pressure have negatively impacted consumer spending and led to a decline in the value of Apple’s shares, which have been downgraded twice this year.
While Apple managed to re-enter the trillion-dollar club in 2019, Microsoft steadily gains value. Investors have become interested in Microsoft’s growth potential as well as the lower risks associated with China. The trend of narrowing the gap between Microsoft and Apple seems to be continuing in 2024, and Microsoft has real chances of surpassing Apple as the most valuable American company.
Frequently Asked Questions (FAQ):
– What is the value of Microsoft?
Microsoft has a value of $2.73 trillion.
– What is the value of Apple?
Apple has a value of $2.83 trillion.
– Why is Microsoft increasing its value?
The increase in Microsoft’s value is mainly due to the success of the Azure platform, which provides cloud services and attracts greater interest from companies, as well as the growing popularity of artificial intelligence.
– Why is Apple losing value?
The decline in Apple’s stock value is mainly due to competition in China and macroeconomic pressure, which affect consumer spending.
Source:
– Information was compiled based on the article: [link to the original article]
The source of the article is from the blog reporterosdelsur.com.mx