Microsoft briefly passes Apple in market cap for the top spot, as both companies hover around $2.87 trillion market capitalization
What you need to know
Microsoft is on the verge to surpass Apple as the world's most valuable company.
The Redmond-giant has a market cap of$2.888 trillion compared to Apple's $2.887 trillion.
The change can be attributed to Microsoft's heavy investment in generative AI which has drawn more investors to the company.
Microsoft is on the brink to surpass Apple as the world's "most valuable company." As a matter of fact, it's already happened a couple of times today. The tech giant saw a 1.5% rise, pushing it to a market cap of $2.888 trillion beating Apple's $2.887 trillion.
As we reported last week, Microsoft was already well on its way to overtake Apple. Microsoft's rise to the top seat can be attributed to its multi-billion dollar investment in OpenAI's technology, which has draw a lot of investor interest.
Apple's shares on the other hand, fell by almost 1%. The iPhone maker's reluctance to hop onto the AI bandwagon coupled with a low demand for iPhone (particularly in the Chinese market) are among the main reasons that can easily explain the dramatic shift.
That said, Apple has been at the top of its game since 2010 with most of its success coming from the iPhone. Unfortunately, Microsoft hasn't been able to crack the mobile scene, especially after pulling the plug on Windows Phone.
At the height of the COVID-19 pandemic, Microsoft gave Apple a run for its money as companies shifted to hybrid work leading to an increase in demand for its cloud computing services.
This is a developing story. We'll update it with more information throughout the day.
