Microsoft Overtakes Apple To Be The Most Valuable Company In The World

 


Microsoft overtook Apple's capitalization and became the most valuable public company in the world, with a capitalization of USD 2.49 trillion.

Apple was overtaken by Microsoft after they disclosed a loss of USD 6 billion due to problems supplying components for its devices, although its financial report is still satisfactory.


On the other hand, Microsoft also has positive financial reports, with its revenue being boosted from sales of Office, Windows, and its cloud products.


At the close of the capital market last Friday, Microsoft's market cap or market capitalization almost touched USD 2.49 trillion while Apple's capitalization was USD 2.46 trillion.


This isn't the first time Microsoft has overtaken Apple's capitalization. They overtook Apple in 2018, the first time since 2010, and then they overtook Apple in July 2020. Previously, Alphabet had overtaken Apple in 2016.


Apple itself has previously been consistent as the most valuable company in the world. They became the first company to exceed USD 1 trillion in capitalization in 2018, and two years later they also became the first American company to exceed USD 2 trillion in capitalization.






Previously reported, in its Q4 2021 financial report, Apple recorded record revenues from the service and Mac sectors. However, Apple still lost USD 6 billion.


During Q4 fiscal 2021, Apple posted revenue of USD 83.4 billion, up 29% year over year, but lower than Wall Street expectations, which predict Apple to earn USD 84.85 billion.


According to Apple CEO Tim Cook, Apple's financial condition was affected by the supply of components that were blocked. "We've had a strong performance despite the bigger-than-expected supply bottleneck, which we estimate is around $6 billion," Cook said.

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