Staff Reporter 
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Microsoft, one of the world’s largest technology companies. Market capital of Microsoft has exceeded $3 trillion for the first time. As a result, they are now ranked second in the list of most valuable companies in the world. Another US technology company, Apple, holds the first position.
Competition with Apple
Reuters reports a competition between Microsoft and Apple. It started at the beginning of the year to become the world’s most valuable company. Earlier this month, Microsoft surpassed Apple to achieve this title. However, the market capital of Microsoft fluctuated, and Apple regained the top spot.
Share Price Milestone
Microsoft’s share price rose 1.7% to a record $405.63 on Wednesday. This increase pushed the company’s market capital of Microsoft past the $3 trillion milestone. However, by the end of the day, the price fell slightly to $402.56. Consequently, the market capital of Microsoft dropped below $3 trillion, standing at $2.99 trillion. When the share price reaches $403.65, the market capital of Microsoft touches the $3 trillion mark again.
Apple’s Market Position
Meanwhile, Apple shares fell 0.35% to $194.05 yesterday. Despite this, their market capitalization remains above $3 trillion. This ongoing competition highlights the dynamic nature of the tech industry.
The Role of Artificial Intelligence
Now is the age of artificial intelligence. ChatGPT creator OpenAI is at the forefront of this revolution. Market analysts believe that Microsoft is far ahead in the world of generative AI technology by investing heavily in OpenAI. They think Microsoft is ahead of companies like Google, Amazon, Oracle, and Facebook in the AI sector. Microsoft is now integrating OpenAI’s technology into their software and search engine, Bing. As a result, analysts predict that Microsoft will surpass Google in the search engine market.
Apple’s AI Challenges
On the other hand, Apple is expected to fall behind Microsoft in the AI domain. Analysts say that Apple lacks a clear AI strategy. Additionally, competition in China and the emergence of other phone companies could impact Apple’s phone sales significantly.
Share Price Trends
Microsoft’s share price rose 57 percent in 2023. This increase is due to AI-based optimism. The share price has already increased by another 7 percent this year. In contrast, Apple’s share price has risen 48 percent in the past year. It is up 1 percent so far this year.
Market Analysts’ Predictions
According to Reuters, 54 market analysts believe that the average price of Microsoft shares this year could be $425. This is up from last month’s forecast of $415. They also advise investors to buy Microsoft shares.
Historical Milestones
In January 2022, Apple became the first company to cross the $3 trillion market capitalization. Yesterday, Microsoft achieved this milestone, marking a significant moment in the tech industry’s history.
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