NEWS  News  January 13, 2024  Reading time: 2 Minute(s)

Max (RS editor)

Microsoft has surpassed Apple as the world's most valuable public company for the first time in over two years. According to data compiled by Bloomberg, Microsoft closed the day on Friday with a market capitalization of $2.89 trillion, narrowly surpassing Apple, which closed at a relatively lower $2.87 trillion market value.

This marks a notable shift in the market dynamics that have been dominated by Apple for the majority of the last decade. The Cupertino-based tech giant first claimed the title of the world's most valuable public company in 2011, toppling Exxon Mobil. However, the tables have turned, and Microsoft is back on top, marking the first time since October 2021 that it closed with a higher market capitalization than Apple.

The reversal in fortunes for Apple is particularly noteworthy as the company has been a consistent leader in market value. Industry analysts have been closely monitoring Apple's performance, and concerns about slowing smartphone demand have cast a shadow over the company's outlook. In the opening days of 2024, Apple's stock has faced headwinds, dropping by 3.4%, while Microsoft has experienced a 3.3% rise. We extensively wrote the challenges that Apple will face in 2024 in our end-of-the-year featured article. 

 APPLE "APPLE PARK" HEADQUARTERS [IMAGE: DUNCAN SINFIELD] 

As technology stocks continue to play a pivotal role in the global market, the shift in the leadership position between Microsoft and Apple raises questions about the broader trends in the tech industry. Microsoft's resilience and strategic positioning seem to have played a crucial role in this recent development, positioning the company at the forefront of the market.

Looking ahead, all eyes will be on Apple as it prepares to release its Q1 2024 earnings report on February 1. This report will cover the crucial holiday shopping season and provide insights into Apple's performance amidst the challenging market conditions. Interestingly, this earnings release precedes the launch of the Apple Vision Pro, scheduled for release in the United States the following day.

The unfolding scenario adds an extra layer of anticipation as investors and industry observers eagerly await insights into Apple's performance and its ability to reclaim the top spot in market capitalization. The tug-of-war between Apple and Microsoft in the stock market emphasizes the dynamic nature of the technology industry and the constant need for companies to adapt to changing market conditions.

 COVER IMAGE: NIKOLAY KAZAROV