Original title: Microsoft's market value exceeds alpha: benefited from the growth of cloud computing business
According to CNBC, when Google's market value surpassed Microsoft's for the first time six years ago, it seemed that the two companies were developing in the opposite direction. But in the past 12 months, Microsoft's share price has soared by 40%, more than five times that of alphabet, and its market value has surpassed that of alphabet.
As of Tuesday's close in the U.S. local time, Microsoft's market value reached $749 billion, and alphabet's market value was $739 billion. Microsoft's recent rise in market value is due to the growth of its cloud computing business, which, although still lagging behind Amazon AWS, is larger than Google's cloud computing business. In March, Microsoft reorganized its windows and devices group and transferred its engineering resources to other departments, including those focusing on cloud computing and artificial intelligence.
In the first quarter of this year, both Microsoft and alphabet outperformed analysts' expectations.
Microsoft was listed as early as 1986, while Google was listed in 2004, and its market value is close to Microsoft in the next eight years. Even after Google's market value surpassed that of Microsoft for the first time in 2012, the market value ranking of both sides changed several times in the next few years. However, Google reorganized and established alphabet as its parent company in 2015, and gained a leading edge in that year, which lasted until this month.
Microsoft is now the third highest listed company in the world after apple and Amazon. Alphabet ranked fourth, followed by Facebook and Alibaba. Microsoft shares fell 0.4 percent on Tuesday to $98.01. Alpha's class A shares fell 1.5% to $1068.07. (small)