14 DAY TRIAL // Apple has long been the most valuable company in the world, and earlier this year, it managed to set a new record by becoming the first brand to be worth more than $1 trillion.
With the share price reaching $207 and then going even higher to $231, it just seemed like only the sky was the limit for Apple, a company that could sell anything, no matter how expensive it was.
And then, the iPhone XS and iPhone XR arrived with pricing that not even the most loyal customers expected. iPhone XR, which is supposed to be more affordable iPhone, starts at $749 in the United States, and the price you have to pay increases as you add more storage. The top iPhone XS Max can be purchased for $1,449.
This typical Apple strategy has a significant impact on new iPhone sales, and the last few weeks brought us all kinds of signs that Cupertino has entered damage control mode. Lowered production, reduced orders, discounts, and even bringing back the originally-abandoned iPhone X are all measures that were supposed to reignite the success of the iPhone.
Microsoft’s growth
And yet, what many people predicted finally happened this week. Apple is no longer the most valuable company in the world after its shares fell to $172.2, which means the once a trillion dollar brand is now worth “just” $746 billion. Microsoft, on the other hand, which has been following its enterprise dream for several years already, is now number one with a value of $753 billion.
While consumers may not like Microsoft’s strategy, investments in products like cloud, Azure, and Office 365 seem to be the right way to go, and by the looks of things, it helped the software giant become the world’s leader in terms of market cap.
Microsoft is also expected to become one of the next companies worth more than $1 trillion, but at this point, I think it’s more interesting to see how much Apple can decline in the coming months. What a roller coaster ride this can be.
Via BGR