What makes Apple the most valuable tech company on the planet?
With top-selling gadgets like the iPad, iPhone and iPod, Apple has widened the gap between itself and Microsoft. A year back, Apple with a market cap of US $ 208 billion was still pretty much behind Microsoft who was at US $ 261 billion. But one year later the gap seems to have rapidly increased with Apple at US $ 330 billion and Microsoft far behind at US $ 230 billion.
To add to Microsoft’s woes, both IBM and Google are at about US $ 201 billion are breathing down its neck. With Facebook and Twitter also coming up, Microsoft is getting hit from all sides.
So what’s the success behind Apple?
Apple is by far one of the most rapidly innovative companies on the planet. With the development of iPhone 4 and despite the huge negative rating it got, Apple has stormed up the coveted ladder of the most valuable tech companies. Add to this soon-to-be-launched iPhone 5 with an improved 8MP camera and a even bigger screen along with a keyboard and a cheaper iPhone nano and you wonder how can individuals at Apple innovate so amazingly quick.
Their products be it Macintosh or its iPhone have always been aesthetically designed with a sense of class and appeal which lacks in say a Microsoft which is more for the mass market audience. This combination of class, sexy products with good design and an importance for fantastic performance has cultivated a unique image for Apple in the minds of its loyal customers something which Microsoft has failed to do so despite its huge size and deep pockets.
Interestingly, Apple has also designed spin offs like iPod nano and shuffle along with its regular iPod series and development of the iTunes store. This is something Microsoft couldn’t do very well. Since Microsoft had been the leader for years, it presumed it would be in the same situation many years down the line too and one of the biggest problems it faced was overconfidence which affected its R & D over the years.
The new products like iPad, iPhone 4, Apple TV, Macbook Air and also the redesigned iPod nano has all but given a unique and distinctive product portfolio.
As one has always said in the constantly changing technology world, one has to always innovate to win and stay ahead in the PLC. Without constant innovation, a company would lose its competitive advantage like Microsoft.
To stay ahead of your rivals, beat the competition hollow!