Apple became the first US company in history to reach $2 trillion in value, just 24 months after becoming the world’s first trillion-dollar company.
The Wall Street Journal reports that the historic milestone was passed on Wednesday morning when Apple’s share price hit $467.55 (about £356.53, AU$649.53) for its just over 4.25 million outstanding shares.
The computer and mobile device maker becomes only the second company in the world to reach $2 trillion in value after Saudi Aramco – Saudi Arabia’s state-owned multinational that sits astride the world’s supply of oil and gas – hit the $2 trillion mark on its second day of trading as a public company.
Market shrugs off global pandemic and major challenges to Apple’s app store business model
Apple’s historic valuation comes as the company faces two major challenges to both its hardware and software revenue streams.
With nearly all of its physical products made in China, it might seem natural for the markets to be wary of potential disruptions to Apple’s supply chain. So far, that hasn’t happened.
As China recovered from the world’s first outbreak of the novel coronavirus and Europe has largely managed their coronavirus response successfully, Apple’s stock price has gone on an absolute tear, growing 3.5 percent a week since June.
More recently, Apple’s App Store has faced increasing scrutiny from lawmakers in the US and Europe over monopoly concerns.
This heightened attention to Apple’s lucrative marketplace was turbocharged this month when Apple removed Fortnite, Epic Games’ popular battle royale, from its store over Epic’s resistance to Apple’s fee structure for in-game purchases.
The global market looks to be shrugging off these potential drags on the company’s bottom line, however, and they’ve certainly placed their bet that Apple will emerge unscathed from its logistical, legal, and regulatory challenges.
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