Throughout 2017, strong sales of smartphones have enabled Apple to realize $ 48.35 billion in profits. In the first quarter of 2018, Cupertino pocketed $ 13.8 billion, compared to Amazon's total net income since the beginning of about $ 9.6 billion.
In just three months, Apple has been enjoying more than Amazon has done in its entire life. According to Warren Buffett, "If you look at Apple, I think it's winning almost twice as much as the second most profitable company in the United States."
Currently, the closest competitor to Apple in terms of profit is the parent company of Google, Alphabet, followed by Samsung Electronics and Microsoft. However, Alphabet leads Samsung little and both benefit just under $ 20 billion a year. Alphabet is the closest technology company to Apple's profit.
On the Fortune Global 500 list, Apple being the world's most profitable, Alphabet ranks ninth. Only financial groups and institutions fill the seven intermediate spaces.
Goldman Sachs analyst, Terry Heath, believes that "we are still in the early stages of the cloud transition and traditional online retail transition and, in our view, the market underestimates the long-term financial benefits of both to Amazon. "Amazon continues to inject money into improving its own back-end capabilities and pushes the boundaries to find out what consumers are willing to pay for his services.
Recent increases in members' preferential rates and expansions to more hardware companies could help Amazon find itself in a better position. As it becomes more economical to buy goods from the Amazon instead of going to the store yourself, Amazon certainly has the potential to make many other businesses obsolete.
On the other hand, Apple has already established its main market and its customer base. If Apple continues to seek to increase its massive profits, Cupertino will have to find a way to solve its latest problem of being too expensive for the average consumer.
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