Move Over, Unicorns: There’s a New Exclusive Trillion-Dollar Tech Club in Town!
In the tech world, not a day goes by with headlines about unicorns, privately held startups valued at more than $1 billion. Now, there is a new club in town — the trillion-dollar tech club. Sorry, not any company can join at this time. The exclusive club is only open to companies with market capitalization of at least $1 trillion.
So far, there are only four U.S. tech companies that make the cut. Google parent-company Alphabet became a new member yesterday after the company hit the $1 trillion market capitalization, making it the fourth U.S. company to hit the milestone alongside Apple, Amazon and Microsoft.
Apple became the first member to hit the $1 trillion market cap milestone in August 2018. It was followed by Amazon in September of the same year. Microsoft joined in April 2019, making it the third member. Alphabet was welcome into club after it hit $1 trillion in market capitalization, making it the fourth U.S. company to hit the milestone. Alphabet was buoyed by strong performance and growth in its Cloud business, “which — while still far behind the leader Amazon and runner-up Microsoft — doubled its revenue run rate from $1 billion to $2 billion per quarter between Feb. 2018 and July 2019,” according the analysis from CNBC.
In the meantime, Amazon has since fallen below the mark. No one knows if eCommerce giant will soon be kicked out of the club after failing to sustain the $1 trillion valuation. As of today, Amazon closes at $924.52B market capitalization.