After five weeks in the spotlight, Microsoft is no longer the world's most valuable company. The tech giant overtook Apple in November but has been surpassed by Amazon, whose market cap sits at 796 billion versus its 783.
Following a strong holiday sales period, Amazon's stock price rose by 3%, edging past. Meanwhile, Apple's stock continues to fall, sitting at 701 billion versus its previous trillion.
To some, this indicates a general long-term shift in the tech industry. While most of Apple's focus is on consumer devices, both Microsoft and Amazon are giants in the cloud industry. Alongside that, Amazon continues to dominate in the smart speaker market, sitting at an estimated 64.6% in the US versus Apple's 4.5%.
A Cloud and AI Future
Investors appear to see these categories as having much more potential for long-term growth, while smartphones are saturated with competitors. Apple is also experiencing reduced sales, warning last week that its quarterly revenue will be over 5 billion lower than expected.
Microsoft's Cortana has just one smart speaker and has pretty much conceded the market, instead planning to focus her on productivity. That enterprise focus is responsible for much of the company's rise over the past few years, with Office 365 and Azure propelling it to an all-time high.
It's likely the three companies, alongside Google, will continue to fight for the top spot over the month. Ultimately, it's an accolade that sounds impressive but could change at any moment. Google has some catching up to do at 745 billion, but Microsoft was in that position not too long ago.