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Microsoft beats Apple to become world’s most valuable company

Microsoft still cautious in light of chip shortages for its tablets and the Xbox

Microsoft is now the world’s most valuable company after Apple’s shares lost nearly 2% of their value this week.

Apple’s shares fell 1.8% on Friday, ending the trading session at US$149.80. The company’s market capitalisation dropped to $2.48 trillion. Microsoft shares though, showed 2.2% gains, reaching a record high of $331.62 per share, which increased its market capitalisation to roughly $2.49 trillion.

Apple’s sales fell a massive US$6 billion for the fourth fiscal 2021 quarter, mainly due to supply chain difficulties.

Apple CEO Tim Cook told CNBC that supply issues were likely to continue for the holiday season:

‘We had a very strong performance despite larger than expected supply constraints, the industry-wide chip shortages that have been talked about a lot and Covid-19-related manufacturing disruptions in Southeast Asia.’

Meanwhile Microsoft has seen a surge in revenue, up 49% from last year, on the back of big demand for its cloud computing services during COVID lockdowns.

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