Microsoft’s milestone achievement of $3 trillion in market capitalization competes for attention against Apple’s struggles in global markets, especially with iPhone sales.
Since the start of the year, Microsoft and Apple have been engaged in a battle for the title of the most capitalized stock on Wall Street. In January, the software giant briefly outpaced the iPhone maker, reaching a record high of $405.15, marking a 1.6% increase and propelling its market capitalization past $3 trillion. LSEG data indicates that Apple’s shares, trading at $196.04 and increasing by 0.4%, maintained a market value of $3.03 trillion.
Fueled by its investment in OpenAI, the creator of ChatGPT, the market views Microsoft as a frontrunner in the race for market dominance in generative artificial intelligence (AI), alongside tech giants such as Google’s Alphabet, Amazon, Oracle, and Meta Platforms (formerly Facebook). Microsoft, leveraging OpenAI’s technology, has rolled out updated versions of its flagship productivity software and enhanced its Bing search engine, intending to compete more effectively with Google’s leading search offering.
In contrast, Apple is confronting slowing demand for its iPhones, especially in China. To address this challenge, the company is offering rare discounts to Chinese customers, aiming to boost sales amid stiff competition from local rivals like Huawei Technologies.
The upcoming weeks will subject Wall Street’s ascent to record highs to a test, particularly as major U.S. technology-related companies, including Microsoft and Apple, prepare to report their financial results.
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