Microsoft recently became America’s second public company to reach a market value of $2 Trillion after Apple. It experienced an increase in its share price by approximately 1.2% in New York. This sudden change made the company briefly join the trillion-dollar club along with Apple Inc. before it soon closed at $265.51. Similarly, in 2019, Saudi Aramco also briefly reached this threshold; however, it is currently valued at about $1.9 Trillion. Microsoft has sustained its dominance over the cloud computing sector and enterprise software which would also probably help it to further advance in a post-pandemic world.
The company was co-founded by Paul Allen and Bill Gates in the year 1975. They successfully launched personal-computer software and dominated the PC operating systems and office software market thereafter for years to come. Many internet browsers like Netscape developed in the 1990s, due to which Microsoft increased its pace to introduce new products together with its Windows software. This once also led the company into murky waters, where an anti-trust lawsuit was filed against it by the U.S. government in 1998. The federal judge had, in fact, found the company guilty in 2000.
After the fiasco, the company changed its authority in 2014, with Satya Nadella taking the reins as the new CEO. Through his leadership, he reshaped Redmond (A Washington-based Company) into becoming the largest seller of cloud computing software which included both its infrastructure and office application cloud units. Microsoft is the sole biggest company in the US technology sector has evaded all scrutiny from America’s increasingly active regulators, giving it better mobility to conduct acquisitions and product expansions.
In this year alone, the company has gained 19%, thus, taking over giants such as Amazon.com Inc and Apple. This is mostly because investors piled onto the stock with the expectations of long-term growth on the basis of both revenue and earnings. Moreover, the increase also comes based on the company’s agenda of expanding in areas like cloud computing and machine learning. Their third-quarter results, as released in late April, topped expectations and displayed strong growth overall in its business segments.
The tech giant has its hands in several sectors, and it is doing quite well overall, taking into consideration its gaming, analytics, cloud, AI, automation businesses. It has successfully become an attractive and valued name within tech, and as per analytics, the company would be able to benefit further with the reopening of the economy and a more prominent shift towards cloud computing.