Amazon moves ahead of Alphabet to become world's second most valuable company

midian182

TechSpot Editor
Staff member

Amazon and Google have been fighting for a while now, with the tech giants taking turns to perform acts of pettiness against each other. But Jeff Bezos might have been feeling more satisfied than usual yesterday, after his firm surpassed Google parent Alphabet to become the world’s second-largest company in terms of market capitalization.

Amazon’s shares finished up 2.69 percent on Tuesday at $1586.51. Thanks to its ever-growing cloud services arm and expanding grocery business, stock has risen about 35 percent this year and 85 percent over the last 12 months. The company is now valued at around $768 billion.

Alphabet, on the other hand, has been affected by the fallout from Facebook's Cambridge Analytica scandal. Both are industry leaders when it comes to online advertising, and the controversy could lead to tighter regulations over how user data is handled, which is worrying investors.

The company is also still tarnished by its admission that Russia bought ads on properties such as YouTube in an attempt to influence the US election. As such, its shares have fluctuated while Amazon's have grown. Alphabet's value was at $762 billion yesterday after it lost 0.39 percent.

Amazon and Google have a number of competing products, including smart speakers and cloud services. The retail giant doesn’t sell Google hardware like its Home speaker or Pixel smartphones, though the handsets are available through third-party sellers.

Earlier this month, it was revealed that Amazon wouldn’t stock any future products from Nest, which rejoined Google in February. The move came after Google’s decision last year to stop the Echo Show and Fire TV from accessing YouTube over claims Amazon was violating the terms of service.

The only company now above Amazon is Apple, which has a market capitalization of $892 billion. Microsoft sits behind Alphabet in fourth place with a $720 billion valuation. Facebook has dropped to seventh, having lost 9 percent of its market capitalization in the past two days

Graph via 9to5Google

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Uncle Al

TS Evangelist
Not to worry .... you can take a look at history and see those at the top are often very fragile and can easily be toppled. How much longer will Bezos be able to manage? What are his plans for the next generation of managers and the one's after that? How will he prevent inside fighting to take over? K-Mart, Sears, and so many more were great in their day, but once they caught lightning in a bottle they failed to maintain their greatness ...... Amazon has had a great run but if you read the reviews, their customers are already tiring of them selling shotty goods and manipulating customers rather than serve them and help them get the best deals. Even today's gullible kids will eventually see through it, then Amazon will be chopped up and sold off to another bunch of "better ideas" ......
 
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