According to AppleInsider , Apple and Microsoft have a long history of competing for the title of the world's most valuable company, but only in the technology sector. In 2010, Apple dethroned Microsoft with a market capitalization of $222 billion, then in 2018, Microsoft regained the top spot.
Microsoft is gaining an edge over Apple in the battle to become the world's most valuable company.
Now, the two companies continue to compete for the title of the most valuable company in the world, across all sectors. In August 2020, Apple became the first US IPO to reach a market capitalization of $2 trillion, and Microsoft became the second in June 2021. By the end of October 2021, Microsoft had taken the lead and at one point was worth $100 billion more than Apple.
Microsoft is now worth about $100 billion less than Apple, according to the latest data from MarketWatch. Microsoft is valued at $2.73 trillion, while Apple is valued at $2.83 trillion. MarketWatch notes that Microsoft shares are up 57% in 2023, compared to Apple’s 48%. Microsoft shares are also expected to see a smaller loss in early 2024.
Apple shares, on the other hand, have fallen significantly in recent days, with the first blow coming after Barclays said iPhone demand was weakening and that the iPhone 16 lineup would not offer any compelling new features to entice users to upgrade.
Analysts say Apple's reliance on iPhone sales is part of the reason Microsoft is doing better. Analysts see Microsoft as less tied to any one piece of hardware and more focused on subscription software like Office 365, making it less vulnerable to falling demand for smartphones and tablets.
Notably, Microsoft has launched its AI chatbot Copilot, while Apple has yet to unveil any similar ChatGPT-style app or service. However, Apple has been using AI for years under the name Machine Learning.
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