Microsoft has managed to do what only Apple had done until now, in the US — it has become the second US public company to reach $2 trillion market value, as per Bloomberg.
Microsoft hits $2 trillion market cap for the first time
Microsoft reached a new milestone Tuesday as the company’s market capitalization hit $2 trillion for the first time.
The Redmond, Wash.-based tech giant trails only Apple among the world’s most valuable companies. Apple became the first publicly traded U.S. company to reach the $2 trillion mark in August. Fellow Seattle-area giant Amazon, valued Tuesday at $1.77 trillion, is also approaching the $2 trillion club.
Microsoft reached the $2 trillion mark in just two years after it first crossed the $1 trillion market cap. Apple had crossed the 2 trillion mark last August and is currently standing at $2.24 trillion.
The only company that has been able to come close, apart from Microsoft, is Saudi Aramco in December 2019. However, today, it has a market value of $1.9 trillion. Although, Amazon and Google are trying hard to go past the $2 trillion mark with market cap of $1.77 trillion and $1.67 trillion respectively.
Microsoft has had a positive year so far. It has managed to gain 19 percent and has actually performed better than Apple and Amazon. Moreover, its third-quarter results that were announced in April were way better than what was expected, while demonstrating strong growth across its business segments.
The credit for Microsoft’s positive trajectory partly goes to the COVID-19 pandemic as while people working and studying from home, more and more people bought PCs, gaming systems or opted for cloud computing platforms — all of what helps Microsoft make money,
Talking about Microsoft’s performance in April, Nadella said in a statement at the time, “Over a year into the pandemic, digital adoption curves aren’t slowing down. We are building the cloud for the next decade, expanding our addressable market and innovating across every layer of the tech stack to help our customers be resilient and transform.”
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