Apple beats Microsoft after rising $1tr in 16 months
By Jeph Ajobaju, Chief Copy Editor
Apple’s stock market valuation is now $3 trillion (£2.2 trillion), rising $1 trillion in a stretch of 16 months to become the world’s first ever company to reach the milestone.
Its share price has risen by around 5,800 per cent since co-founder and former chief executive Steve Jobs unveiled the first iPhone in 2007.
Microsoft is also on its way to a $3 trillion mark after topping $2 trillion last June.
Apple has been one of the big winners of the pandemic, as coronavirus lockdowns saw spending on gadgets jump.
“Hitting $3 trillion is another historical moment for Apple as the company continues to prove the doubters wrong,” Dan Ives, an analyst from Wedbush told the BBC which reported the news.
It took just over 16 months for Apple’s stock market valuation to rise from $2 trillion to $3 trillion, as the world’s biggest technology companies saw demand soar as people became more reliant on smartphones, tablets and laptops during lockdowns.
Apple became the first company to hit a stock market valuation of $1 trillion in August 2018.
The iPhone typically accounts for around half of its sales, while it is also well-known for its iPad tablets and Mac computers.
__________________________________________________________________
Related articles:
Chinese firm Xiaomi surges past Apple in global smartphone market
TikTok topples Google as global web favourite
Millions of e-devices worldwide exposed to malware, US warns
__________________________________________________________________
Software goldmine
Increasingly important parts of the business are software, sold through the Apple store, storage space via the iCloud and services such as its music, television and fitness subscription platforms.
“The linchpin to Apple’s valuation re-rating remains its Services business which we believe is worth $1.5 trillion,” Ives said.
In August, Apple’s chief executive Tim Cook received more than five million shares in the firm, as he marked ten years in the job.
A company filing with the US Securities and Exchange Commission showed that he sold most of the shares for more than $750 million.
It was part of a deal he struck when he took over from co-founder Steve Jobs.
The award was dependent upon on how well Apple’s shares had performed compared to other firms on the S&P 500 stock index.
Apple, based in Cupertino, California, was founded in 1976 by Jobs and his business partners Steve Wozniak and Ronald Wayne.
The company made its stock market debut in 1980 with a market valuation of $1.8 billion
In November last year, the original Apple computer built by Wozniak and Jobs fetched $400,000 at auction in the US.
