While going through Tech stuffs as usual today, I came upon a very interesting news article and I felt it would be good and timely to share it with my pals in MobilityNigeria.
Apple Inc. sped ahead of Microsoft Corp as the world’s largest tech company as measured by market value on Wednesday, 26th of May 2010. Apple Inc., the maker of the iphone and ipad has overcome a major milestone. It is interesting to note that they almost went out of Business in the 1990s. They struggled for many years to get their products into the mainstream and it was only a $150 million investment from the much larger Microsoft in 1997 that kept them afloat.
According to Reuters, Microsoft Corp CEO Steve Ballmer was not disturbed a day after rival Apple Inc exceeded his firm as the world’s largest tech company by market value. He retorted that his goal was to develop a good product line and earn more profits. “My focus is on … what we should be doing to our product line, where do we go, how do we make products more innovative,” he said in response to a question on Apple racing past it in market value in New Delhi, India today, 27th May.
“It’s a long game, we have good competitors … we too are a very good competitor,” Ballmer said. “We are executing very well and that is going to lead to great products and great success.”
Analysts believe Microsoft is betting on an updated version of its Microsoft Office software it launched earlier this month along with a completely new Mobile software Operating System for smart phones called Windows Phone 7, which is scheduled to enter the market in a new range of handsets by the holiday shopping season.
“I am optimistic,” Ballmer said.
By Nasdaq ratings, Apple’s shares rose 1 percent on Wednesday, elevating its market value up to $225.1 billion and ahead of Microsoft’s $222.7 billion, as noted by Reuters data. Apple shares went up 1 percent above $247 in late afternoon trading. Microsoft shares were down 2.2 percent to $25.50.
Shares of Apple are now worth more than 10 times what they were 10 years ago, as it has profited from revolutionizing consumer electronics with its exquisite, broad appeal, easy to use devices with superb interface in products exemplified by the iphone. Other products of stellar quality include the iPod, iPhone and MacBook laptops. Not to mention the top selling ipad which sold a million units in the US alone less than a month after its release. The ipad is widely believed to repeat the same feat in Europe after its launch there on Friday, 28th of May.
Microsoft, the former biggest Tech Company is of repute to have its operating system (Windows) running on more than 90 percent of the world’s PCs. Regrettably, they have not been able to match their impeccable growth rates of the 90s.
Now the Cupertino, California-based Apple is the second-largest company on the S&P 500 index by market value, second only to Exxon Mobil Corp., the Energy Giant.