Published: Sat, August 04, 2018
Markets | By Jeffery Armstrong

One-trillion-dollar question finally answered by Apple

One-trillion-dollar question finally answered by Apple

Apple is the first USA company to reach $1 trillion in market value - arguably the first company ever - and even left-wingers like Alexandria Ocasio-Cortez and Bernie Sanders should think that's pretty awesome.

Some experts estimate the Saudi oil company could reach a total stock market value two times bigger than Apple's - at $2 trillion dollars.

Apple has become the first trillion dollar company today after its stock price soared on the back of excellent financial results.

Mega-cap tech giants like Amazon, Microsoft, and Google's parent, Alphabet, were also in the race to $1 trillion, but none could beat Apple in the end.

Tim Cook thinks that, while it is a milestone for Apple, it is "not the most important measure of our success".

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Apple's latest earnings release, dated July 31, called out record services revenue, which rose 31%, year over year, to $9.5 billion during the third fiscal quarter. chief analyst Neil Wilson said that Apple's growth showed that they shifted away from relying on heavy iPhone sales.

Canada's entire gross domestic product (GDP) is valued at about 1.7 trillion dollars right now.

Apple, the company Steve Jobs and Steve Wozniak founded in 1976 in possibly not a garage, became the most valuable company in the world in 2012, passing Microsoft as iPhone sales pushed the company into the stratosphere.

Last month, an ex-Apple engineer was charged in California with stealing trade secrets from a hush-hush self-driving auto technology project days before he quit to go to a Chinese start-up.

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In 2015, Apple joined the Dow Jones Industrial Average, one of capitalism's most exclusive clubs.

Apple has seen sales of Mac computers grow despite overall shrinking in the market.

The iPhone is regarded as a seminal product for Apple's trajectory as a company; in 2006, the firm's sales were less than $20 billion, with profits of almost $2 billion.

But by 1997, after Apple had been operating at a loss for 12 years, Mr Jobs was asked to return.

Apple hit the $1tn (£767bn) mark after publishing shares which brought the value of the company up from $935bn. The company estimated a healthy revenue stream of between $60 billion and $62 billion with low operating costs of just $7.95 billion to $8.05 billion.

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