Amazon joins Apple in the $1tn club

Market - Mohit Shah - Sep 14,2018

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amazon joins apple in the dollar 1tn club

Amazon’s market value fleetingly climbed over $1tn (£779bn), within a moment when Apple became the very first public organization around the world to achieve this milestone.  

Apple and Amazon are completely different companies but their achievements are measured on a single scale. Both the firms have successfully crossed $1tn in market value, making it a historic moment.  

Shares of Inc. rose by almost 1.9 percent, driving the company briefly past a market value of $1 trillion, a landmark Apple Inc. reached in the previous month.

Jeff Bezos, Chief Executive Officer of Amazon, is a happy man as the accomplishments of the company has raised his reputation to become the world’s wealthiest person.

Although Apple and Amazon deliver different products & services,  both of them are technology firms which are part of the five paramount performing technology stocks in the global market - typically termed as FAANG, which stands for Facebook, Apple, Amazon, Netflix, and Google.

Talking about Apple, the majority of the revenues have been pulled from its device sales, especially the iPhone, iMac, iPad and iPod. Moreover, Apple only manages 14% share in the global smartphone market, nevertheless its revenues constantly dwarf its close competitors.

As per Strategy Analytics, during the first quarter of 2018, Apple seized $61bn in revenues, while Samsung only managed to grab $19bn, trailed by Huawei with $8bn in revenues.

Both Apple and Amazon have advanced in artificial intelligence with the introduction of virtual personal assistants as well as wireless smart speakers. Apple's virtual assistant called Siri, together with the recently launched Home Pod wireless speaker are some marvelous creations that have influenced the company’s growth.

Similarly, Amazon's virtual assistant named Alexa, and its attractive line of Echo smart speakers have proven successful among the global customers.

It would be interesting to see how these tech giants face-off in the near future with demand & supply playing a crucial role to determine the overall revenue share.