Alexis Kestler
Hey friend! Let‘s take a deeper dive into some of the latest happenings in tech.
Reaching a $3 trillion valuation is an incredible achievement for Apple that really puts their massive scale into perspective. As a technology analyst and Apple enthusiast, I wanted to share some additional thoughts on this milestone.
To reach the $3 trillion mark, Apple‘s market cap now exceeds the entire GDP of countries like the UK and India. It‘s larger than the value of major global companies like Amazon ($1.4T), Tesla ($550B) and Berkshire Hathaway ($700B) combined!
Apple dominates as the most valuable public company in the world by a wide margin. Here‘s a look at how Apple compares to other tech giants [1]:
| Company | Market Cap |
|---|---|
| Apple | $3 trillion |
| Microsoft | $2.25 trillion |
| Alphabet (Google) | $1.6 trillion |
| Amazon | $1.4 trillion |
Apple‘s leading position highlights its continued innovation across hardware, software and services. Even with periodic worries about iPhone sales declining, Apple has maintained strong growth and profits from its ecosystem.
Services like the App Store, Apple Music, and iCloud subscriptions now make up 20% of Apple‘s total revenue. Wearables like the Apple Watch and AirPods have also become major hits. And Apple‘s chip development has helped it stand apart from other device makers.
Reaching $3 trillion shows investors believe Apple still has room to grow, especially as it expands into new product categories like augmented reality and autonomous vehicles. While the stock price rose this year, the P/E ratio remains around 25 which is lower than other tech giants [2].
As an Apple user myself, I believe they deserve the valuable brand they‘ve built through pretty remarkable products that combine cutting edge technology with elegant design.
Okay, moving on to the exciting fintech startup acquisitions…
I wanted to provide some additional context on why established players like Visa and Ramp are scooping up emerging fintechs. This reflects the big investments required to innovate in digital finance.
According to CB Insights, funding to fintech startups has exploded from $10 billion in 2017 to over $130 billion in 2021 [3]. But many need the scale and resources of larger partners to truly compete against big banks.
For example, Visa‘s $2.5 billion purchase of Pismo gives them vital access to Latin America‘s growing payments industry. eMarketer predicts ecommerce in Latin America will grow nearly 20% this year as digital banking expands [4].
And Cohere‘s natural language AI can help Ramp provide more automated, personalized customer experiences that users now expect. Research shows 77% of customers want more self-service options from financial providers [5].
Acquisitions also allow fintechs a profitable exit versus the challenges of IPOing or remaining private. M&A deals in fintech reached a 5-year high in 2022 [6].
I expect this consolidation trend to continue as more legacy finance leaders seek to upgrade their technology stacks and business models. The partnerships seem like a win-win providing startups a stable home while giving large companies needed innovation.
Finally, I wanted to discuss why I find Humane‘s new AI Pin so exciting as a fellow ambient computing geek!
Humane is taking a unique approach by focusing first on wearables vs voice assistants. They want to pioneer natural interactions through projected displays.
Analysts predict there will be over 1 billion ambient computing devices by 2024 [7]. The AI Pin could be at the forefront of making these concepts mainstream.
I‘m enthused by Humane‘s vision to embed technology seamlessly into our everyday lives. And the AI Pin‘s tiny but sophisticated design really reflects their Apple pedigree.
Let me know if you want me to dig into any other emerging tech – I‘d be happy to provide more insights from the perspective of an industry analyst and tech product user!
