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Apple vs Microsoft: Microsoft Is The Loser?

Posted on 27 July 2010 by pinoytutorial

Is it Apple or Microsoft? Microsoft and Apple are two of the biggest technology companies in the world. Basically they revolve into two different markets; Microsoft is with the software market while Apple is more on the hardware market.

Article 81 pic 2 Apple vs Microsoft: Microsoft Is The Loser?

So who among the two is really the world’s most highly valued tech company as of present? Well, Apple and Microsoft have been closely battling for this position and apparently Apple has already taken the top spot and exceeded Microsoft’s revenue. Based on Thomson Reuters, Microsoft’s revenue is $ 15.27B while Apple made $15.74B. It seems to be a very close fight between the two giants.

Apple

Apple’s third quarter figures seem to be quite phenomenal. In fact, it has generated a net income of around $ 3.25 billion. This figures even exceeded their expectations. Such figures may be brought about by the successful product launches it made featuring the iPad, iPod, Macbooks and the very successful iPhone 4.

Apple made around 3.47 million Macs, 8.4 million iPhones which is inclusive of the iPhone 4 sales, 9.41 million iPods and around 3.27 million iPads. According to Apple more than half of these total sales came from international consumers. And Apple still has a pretty good line up of new and exciting products to be launched this year.

Apple’s Chief Operating Officer Tim Cook has also announced that Apple will be going to set aside around $175 million intended for the cost of the free iPhone 4 cases. This action may be brought about by the reception problems raised against the iPhone 4. Although Tim Cook fully emphasized that the return rate for the iPhone 3GS is quite higher than that of the iPhone 4.

Microsoft

Last May 2010, the shares of Microsoft shares closed at $ 25.01 and it gave Microsoft a market cap of around $ 220 B. These figures put Microsoft at third place among the three largest publicly traded US companies. First is Exxon Mobil while Apple is on the second place.

Basically, Microsoft business focuses on business-to-business market. Majority of Microsoft profit is derived from selling their products to various businesses. Much of Microsoft profits came from selling licenses for its operating system to computer manufacturers.

It seems that Apple and Microsoft are in a great competition even if they cater different markets in the tech world. Apple may surpass Microsoft as of present but we’ll never know if the trend will continue in the future. Whatever it may be, Microsoft and Apple will always be two of the best valuable companies that the tech world could ever have.


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