Apple worth $3 trillion – can the tech giant achieve world domination?

Behind the glass walls of Apple’s $5 billion flying-saucer-like headquarters in Cupertino, California, it’s been a new year to celebrate. No company has ever reached a market cap of $3 trillion, but a soaring Apple stock price broke the barrier earlier this week. This makes it worth more than all the companies included in the FTSE 100.

It just could be better. After a minor hardware attack last year, this year, Apple is launching the product. Silicon Valley sources say the iPhone 14, which will be released in September, will do away with a physical SIM card slot instead of a digital eSIM. Also on the horizon is something called Apple Universal Control, which will let users control multiple Apple devices, like Macs and iPads, from a single keyboard and a mouse or touchpad. They will be able to type text on the iPad’s screen and use the mouse to drag content from the iPad to the Mac.

Apple is also expected to unveil a new Mac Pro desktop computer, a new Mac mini desktop, and a larger-screen iMac Pro, all featuring Apple processors. It’s rumored that the firm is planning a new external monitor at half the cost of the $5,000 Pro Display XDR, new watches, and its long-promised augmented reality headset. “Looks like we’re going back to the future,” says one Apple executive, speaking privately.

In many ways, Apple is. It used to be about changing the world one magic box at a time – iPod, iPhone, iPad, Apple Watch. After the turmoil of 2018 when sales of iPhones disappointed, some suggested that Apple’s hardware division was running out of steam. Now the sale of gadgets is gaining momentum again. Take the smallest product ever made by Apple. According to analysts, around 27 million pairs of its latest AirPods were sold over the holiday period. There has been a tremendous increase in the sales of all its products due to lockdown and work from home. Apple generated $1 billion in revenue in one day last year and its stock price climbed more than 30 percent.

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To ensure users stay connected to their devices — old and new — and adding revenue streams, Apple has moved heavily into services. These differ from Apple TV+, a “news you can trust” service, financial services in a joint venture with Goldman Sachs, and healthcare, thanks to the heart and other sensors in the Apple Watch. When the services were launched, some critics wondered whether Apple could live up to its absurdly high standards set in hardware. He explained that in each new market it had to face tough, established and well-resourced competitors. They don’t need to worry. Apple TV has had breakout hits during the lockdown, especially The Morning Show and Ted Lasso.

Dozens of news organizations have signed up to partner with Apple News. Apple’s Health Kit, which integrates data from multiple wearable devices, will enable care teams to spot — or even predict — the rapid growth in sales of the Apple Watch. has helped.

Apple is now the world’s largest watchmaker by revenue, outpacing the entire Swiss watch industry

Strategy Analytics analysis shows that Apple is now the world’s largest watch maker by revenue, outsourcing the entire Swiss watch industry. Apple Music has attracted nearly 70 million subscribers – although Spotify remains the market leader with 172 million. “Apple continues to prove skeptics wrong,” says Dan Ives, an analyst at Wedbush. He estimates that its services business is now worth $1.5 trillion.

Away from products and services, Apple’s CEO, Tim Cook, has navigated “techclash” better than any other big tech boss. He has cleverly turned the most controversial social and political issue – privacy – into a competitive advantage. He rarely misses an opportunity to censure its competitors, especially Facebook, for a business model based on harvesting and monetizing its users’ personal information – which Apple does not.

Manzana

However, Apple hasn’t got everything right. Despite being a leader in the “online butler” with Siri, it has outperformed Amazon’s Alexa in both smart speaker use and sales. The trouble is that it takes a huge amount of personal data for good voice recognition and other AIs to perfect. Amazon cuts, dices, and divides everything it does everywhere, and then uses the data to improve Alexa’s speed, accuracy, and personalization. Apple’s privacy strategy joins its hands. Elsewhere, Apple’s much-anticipated autonomous car, the Project Titan, has failed to gain traction. The firm also faces political and regulatory pressures. Legislators in Washington have raised questions about the estimated $8 billion-$12 billion payment each year that Google’s parent company Alphabet has given Apple to Google search on its devices as default, while others have raised questions about Apple’s App Store business model is targeted to take 15- 30% deduction on certain transactions.

China may be a commercial success, but it’s starting to look like a reputational risk — and a threat to Apple’s self-anointed role as the patron saint of privacy. A few years ago, at the request of Beijing, Apple began storing data and keys in Chinese iCloud accounts in data centers in China. Privacy advocates say it makes it easier for Chinese officials to monitor what Apple consumers do in the country. In Hong Kong, Apple removed from the App Store HKmap.live, an app used by pro-democracy protesters to track police activity, after China’s state-run newspapers published articles criticizing it. The stakes are higher for Apple than for any other tech conglomerate because it cannot exit China because of its iPhone factories. Google’s Pixel brand handsets are made in Taiwan.

CEO Tim Cook turns the most controversial social and political issue – privacy – into business advantage

Apple may also face political heat for its Russia policies. Since late last year, Apple’s maps and weather app, when used inside Russia, has shown the Crimean peninsula, Ukrainian territory illegally occupied by Russia in 2014, as Russian. Apple argues that “while we may disagree with the law of a particular country, engaging there may best promote fundamental rights, including the right to free expression.” While it has been grappling with reputation issues in Russia and China, Apple’s performance in other new growth markets, particularly India and Africa, remains weak. Inexpensive Android handsets, often made by Xioami and Huawei, dominate emerging markets.

What could the future of the world’s most valuable firm look like? There are likely to be a lot more services to go with the all new kit. The health monitoring services of the Apple Watch enable Apple to move to health insurance with ease. Apple Card, launched with Goldman Sachs, works well with the increasingly popular Apple Pay – it already accounts for about five percent of global card transactions and that number will double by 2025, a recent research finds. The data, compiled by the firm Bernstein, shows.

Getty Images for Whipshots

Apple could expand further into financial services, a market in which other technology giants are likely to struggle. Consumer and regulatory backlash against Facebook’s proposed Libra global crypto-currency demonstrated this clearly. Digital payments are a huge opportunity, representing approximately $1 trillion in revenue worldwide. Some in Silicon Valley speculate that Apple may be taking advantage of its role as a custodian of privacy to create a new privacy-minded version of social-media services, or a YouTube that isn’t heaven for cranks.

All these would be risky moves but the firm has been here before. When it faced bankruptcy in the early 2000s, Steve Jobs revamped it by developing new services with new devices, particularly the iPod with iTunes.

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“What Cook is trying to do is come up with a new set of iTunes-like services that, combined with more diverse hardware, are simple and compelling to create an eco-system,” says an Apple veteran. ” “Imagine secure communications, iCloud storage, TV, quality news, banking, health, insurance and much more coming, all in one, trusted supplier on iPhone, iPad, Mac, watch and, in the future, AR Glass. It will be quite revolutionary. ” and profitable. Analysts say such a bundle of services could attract subscription fees of over £100 per month.

Maybe a $4 trillion valuation isn’t that far off.

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