Google parent company Alphabet expected to reach $1tn value soon
Alphabet may join Apple, Microsoft and Amazon when it reports latest earnings, another sign of the unstoppable rise of tech
Alphabet may join Apple, Microsoft and Amazon when it reports latest earnings, another sign of the unstoppable rise of tech
Another tech behemoth is poised to join the club of Silicon Valley giants valued at more than $1tn. Alphabet, Google’s parent company, reached a value of $991bn by midday Monday, with analysts expecting it to cross the $1tn mark soon.
Alphabet would join a select club of tech companies to pass $1tn in value. Apple became the first tech company to pass the benchmark in August 2018 and has since risen to be valued at $1.37tn.
The iPhone company was followed by Microsoft, which passed $1tn in April 2019 and Amazon, which joined the club in September. The value of Microsoft has continued to rise but Amazon has slipped back and is now worth $940bn.
Alphabet reports its latest earnings on 3 February and is expected to report another record quarter of advertising revenue that could easily push its share price past the $1tn mark.
The seemingly unstoppable rise of the top tier of tech companies comes even as politicians, consumer groups and regulators across the world are increasingly worried about the outsized influence of the companies on competition in their relative spheres.
Google accounted for 73% of the ad market in search in the US and 31.1% of global digital ad dollars in 2019, according to eMarketer. In the last quarter its revenues were $40.5bn, 20% higher than the same period in 2018.
Alphabet had over $117bn in cash on its books last year, more than Apple which had a cash pile of over $102bn.In December the UK’s Competition and Markets Authority released a report arguing there was a good case for introducing regulations to tackle the dominance of Google
