Google surpassed Microsoft in market value on 1 October for the first time and placed behind Apple

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On October 1, history was made in the stock market technology. Google surpassed Microsoft in share price for the first time in his short (but intense) existence. Six minutes later, again placed the form below to trace a minute later. From nine thirty-seven minutes, the price of Google was ahead of Microsoft. Until the clocks struck four o’clock in the afternoon. The closing of the day saw a market value of 249,877.8 million for Google and 247,226.4 million for Microsoft. A small but symbolic overtaking. If Google is one of the kings of the new technological aristocracy, Microsoft is the dethroned prince , and does not know what to do to regain his crown.

The musical chairs in the world of technology companies took the throne at Microsoft in May 2010. That’s when Apple, the undisputed market leader , stood as the first technology company in financial value. Your quote was around $ 620 million on October 1, the day Google became Microsoft.  This escalation allowed Apple to be the most valuable private company in history in August 2012. A milestone with precisely that unseated Microsoft, who marked the previous record dated 1999. Over ten years apart have changed the tide of a market that has no pity for those who do not fit.

One product of Apple, the iPhone (which is only five years old) , generates more profit than all Microsoft products together. In the first quarter of 2012, sales of iPhone billed 22,700 million dollars, while Microsoft made a profit of 17,400 million in the same period. One of the main reasons for this decline is the dependence of a saturated market Microsoft : the personal computer, explains Miguel Angel Bernal, professor at the Institute of Stock Market Studies. Consumers have migrated most exciting technologies. A report by consultancy IHS expects sales of PCs will fall by 1.2% this year. For the first time since 2001. This reality pushes Microsoft to the downhill of the technological race. Professor of Information Systems at Instituto de Empresa Ricardo Perez believes that Microsoft has failed to react to market changes. As Bernal says, “has no known function in the new lines of development: photo applications, social networks, maps.”

Failed attempts

The company founded by Bill Gates tried along its lost decade introduced in other branches of the digital world. But almost always failed . Its search engine, called Bing, has been unable to break the hegemony of Google, whose search slashing 85% market share worldwide. The presence Microsoft engine is less than 5%. According to Perez, ” Google’s brand is too strong to gain ground in this area. “

His approach to the manufacture of hardware (the computer product packaging) has not been successful. Only you can highlight the bittersweet taste of the Xbox. But the music player introduced to compete with the iPod in November 2006 was discontinued in October 2011 due to lack of demand. Two months after its launch, Steve Jobs announced the birth of the iPhone . Microsoft again late. In smartphones, Kin abandoned its product and its alliance with Nokia has failed.

Despite this outlook, keeps its traditional business as an Internet giant.The question is for how long. Microsoft is the leading producer of software (the content wrapped inside the devices, sold through licensing) of the world. Its turnover reached 16,000 million dollars in its first fiscal quarter of 2012, from July to September. But profits fell 22.1% . The fall in sales of computers swept away sales of Windows operating system, its flagship product, whose sales fell 33.4%.

In order to turn around this situation, Microsoft has announced a new strategy aimed at diversification: want to sneak into the ecosystem of its competitors . Microsoft should “have complementary products and services,” says Perez, and not create “an isolated technological system.” Since the Pc’s. “If you manage to attract more partners, will have something to say” judgment.

With this move, Microsoft wants to be like Apple . The company begins to assume that the consumer has chosen to touch the screens with their fingers instead of pressing on keyboards. And the consumer always is right. At least, that’s what the markets are reflecting.

He have started blogging on Technology and computer at his college time in 2005 and worked with many reputed organization in India. He wrote many guest post for Technology magazine and newspapers worldwide. His writing and passion about Technology make him different from other writers in the global market. He love to write the review and thoughts on any new Technology and invention in current happenings.

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