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Microsoft (Nasdaq: MSFT) received a fresh growth boost in 2023 after the unprecedented demand for AI solutions disrupted the tech sector. Under Satya Nadella’s leadership, Microsoft positioned itself as one of the frontrunners of the ongoing AI revolution, and thanks to this accelerated growth pace, it is becoming an increasing threat to Apple’s (Nasdaq: AAPL) ‘most valuable company’ title.
Microsoft’s Rise Backed by AI Goldrush
Apple became the world’s most valuable company in 2011 when its market cap hit $340 billion.Since then, the iPhone maker has rarely lost this status as it continued its steady growth in the years to come. The company reached the $1 trillion milestone in 2018 and surged close to a $3 trillion valuation this year.However, there is a growing threat to Apple’s top spot, and it’s none other than its long-time rival Microsoft.Fueled by the ongoing AI revolution, Microsoft’s valuation surged to over $2.8 trillion in 2023, just 5.7% short of Apple’s $2.98 trillion. The tech giant has been on a relentless rally in 2023, printing new all-time highs multiple times in recent months amid strong demand for its AI and cloud services.At the moment, MSFT’s stock price is sitting at $377.2, compared to Apple’s $189.7. Microsoft’s shares must surge above the $400.5 mark to dethrone Apple as the most valuable business.
Satya Nadella’s Impact on the Tech Giant
Microsoft’s remarkable ascent in 2023 can be attributed to a harmonious blend of factors. However, when viewed through a wider lens, the company’s new growth stage began in 2014 with the appointment of Satya Nadella as its CEO.Since taking the helm, the visionary Indian-American business executive has brought significant strategic shifts to the tech giant. Notably, Nadella adopted a cloud-first, mobile-first strategy, reinforcing Microsoft’s dominance in the evolving tech space. This turned out to be a transformational move for Microsoft, resulting in unprecedented growth in its cloud computing platform, Azure. But in reality, Nadella’s pursuit of innovation has been felt across Microsoft’s entire product and services lineup, including Windows OS and Microsoft Surface. Fast forward to 2023, the year of the AI revolution, Nadella left nothing to chance. Under his leadership, the company struck a breakthrough partnership with ChatGPT maker OpenAI, pouring $13 billion into Sam Altman’s startup. In return, Microsoft accessed ChatGPT’s underlying large language model (LLM), GPT, which it then used to refresh its products and services – from GitHub over Bing and Office to Azure. More By This Author:Nvidia Falls Premarket After Reported Delay In Launching China-Focused Chip
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