Wednesday April 24, 2019
Home Lead Story Microsoft Bec...

Microsoft Becomes The Most Valuable US Company

Microsoft's gaming revenue increased 44 per cent with Xbox software and services revenue growth of 36 per cent while Surface revenue increased 14 per cent

0
//
Microsoft
Microsoft launches e-commerce portal for Telangana's handloom weavers. Pixabay

Microsoft has become the most valuable US company with $753.3 billion in market capitalisation, riding past Apple for the first time since 2010 when it came close to the Cupertino-based tech giant.

Apple, which became the first $1-trillion US company in August, came down to $746.8 billion on Friday, owing to lower-than-expected iPhone sales amid reports of its suppliers cutting cost and workforce.

Amazon with $736.6 billion is currently at third and Alphabet (the parent company of Google) with $725.5 billion is at the fourth spot.

“With Microsoft now overshadowing all three, including Alphabet Inc, the firm now looks to be the most valuable tech company of the Silicon Valley giants,” mspoweruser.com reported.

The investors are now betting big on companies with robust Cloud services and software services which are witnessing an increased demand from big and small enterprises the world over for their digital journey, at a time when giants like Facebook and Google face intense scrutiny for users’ data practices.

Riding on its growing Azure Cloud, gaming and Surface laptop portfolio, Microsoft posted a revenue of $29.1 billion and net income of $8.8 billion for the first quarter of its 2019 financial results.

Revenue was up 19 per cent while net income increased by 34 per cent. Operating income was $10 billion and increased 29 per cent.

“We are off to a great start in fiscal 2019, a result of our innovation and the trust customers are placing in us to power their digital transformation,” CEO Satya Nadella said in a statement.

Microsoft, PUBG
A sign for Microsoft is seen on a building in Cambridge. VOA

Revenue in Intelligent Cloud was $8.6 billion and increased 24 per cent. Server products and Cloud services revenue increased 28 per cent driven by Azure revenue growth of 76 per cent, Microsoft informed.

Revenue in More Personal Computing was $10.7 billion and increased 15 per cent.

“Windows commercial products and Cloud services revenue increased 12 per cent,” said the company.

Microsoft’s gaming revenue increased 44 per cent with Xbox software and services revenue growth of 36 per cent while Surface revenue increased 14 per cent.

Also Read- Xiaomi Sold Six Lakh Units of Redmi Note 6 Pro During Black Friday Sale

On the other hand, slower-than-expected demand has reportedly led Apple to direct its top phone assemblers, Foxconn and Pegatron, to halt a planned production boost for iPhone XR, a relatively cost-effective model that hit the shelves late last month.

Foxconn, a Taiwan-based company, would produce around 100,000 fewer units daily to reflect the new demand outlook, down 20-25 per cent from the original optimistic outlook, Japanese financial paper Nikkei reported earlier this week.

The estimates of iPhone XR have been cut by nearly 30 million shipments, according to an Apple analyst.

Ming Chi-Kuo, an Apple analyst working with TF International Securities, said earlier this month that shipment forecast for the iPhone XR has been cut from 100 million units to 70 million units during the product lifecycle. (IANS)

Next Story

Microsoft Employees Decry ‘996’ Chinese Work Culture

The Alibaba Founder Ma has suggested that people in China should work for 72 hours in a week or 12 hours a day for six days

0
microsoft
FILE - Microsoft Corp. signage is seen outside the Microsoft Visitor Center in Redmond, Washington, July 3, 2014. VOA

A group of Microsoft employees has come forward to support Chinese tech workers on the gruelling ‘996’ culture, writing a petition in defence of a trending GitHub repository that is being censored in China.

In a letter written on web-hosting service Github, owned by Microsoft, the employees have asked the company to keep the “996.ICU” GitHub repository uncensored, The Verge reported on Monday.

The repository “996.ICU” is a reference to the working hours that tech workers in China are protesting — 9 a.m. to 9 p.m., six days a week.

The ICU refers to employees who work under these grueling hours, eventually ending up in the Intensive Care Unit at hospitals.

“The “996.ICU” repository was established in March by Chinese tech workers who were protesting extreme overwork,” said the report.

The “996” philosophy has been endorsed by the tech billionaire and Alibaba Founder Jack Ma.

Several local Chinese browsers have already blocked access to 996.ICU, including Tencent, Alibaba, Xiaomi, and Qihoo 360.

Microsoft, that owns GitHub, has not blocked the repository till now.

Microsoft, Taiwan AI
A man walks past a Microsoft sign set up for the Microsoft BUILD conference at Moscone Center in San Francisco, April 28, 2015. VOA

“We, the workers of Microsoft and GitHub, support the 996.ICU movement and stand in solidarity with tech workers in China. We know this is a problem that crosses national borders,” wrote employees in the petition.

“Another reason we must take a stand in solidarity with Chinese workers is that history tells us that multinational companies will pit workers against each other in a race to the bottom as they outsource jobs and take advantage of weak labour standards in the pursuit of profit,” they added.

Microsoft workers called on Chinese tech companies to comply with local labour laws, which limit their workers to 40 hours a week.

“We encourage Microsoft and GitHub to keep the 996.ICU GitHub repository uncensored and available to everyone,” they said.

Also Read- Apple Spent Over $30 mn on Amazon Cloud in Q1 2019

Since 996.ICU is hosted on GitHub, the repository can’t be blocked at a network level without blocking the entire site, which would be catastrophic to Chinese software developers.

“The ultimate decision of whether to risk China’s GitHub access falls to Microsoft, which so far hasn’t indicated a firm position on the protests,” the report added.

The Alibaba Founder Ma has suggested that people in China should work for 72 hours in a week or 12 hours a day for six days.

“If we find things we like, 996 is not a problem. If you don’t like (your work), every minute is torture,” he said in a blog post. (IANS)