By Ed Oswald | Monday, July 19, 2010 at 11:46 am
In terms of market capitalization, Apple has been ahead of Microsoft since May. In terms of real dollars made however, Redmond still is king. That may not be true for much longer: Apple is making strides that could put it ahead of Microsoft in terms of revenue, and highlight the company’s decade long rise from the ashes.
According to Fortune, analysts polled by Reuters expect Apple’s earnings revenues — which it reports Tuesday — to come in at about $14.62 billion for the quarter. On the other hand, analysts expect Microsoft to report $15.26 billion in revenues when it gives its quarterly numbers on Thursday.
Apple seems to have a habit of beating Wall Street expectations rather handily (last quarter, revenue numbers were some $1 billion higher than expected). So does Microsoft — but not to the extent that Apple manages to do. This all means it is a very real possibility that the Cupertino company may have made more money overall for the first time in history.
Does this really mean anything though? I’d argue it does. What it shows is Apple is a company that still appparently has upward potential, while Microsoft continues to be mired in the morass that it seems to have been in financially for much of the past decade. Look at some of the graphs in the Fortune article and you’ll see why.
Apple is certainly the darling of the tech press — we all can agree on that. But the data is now finally catching up to the hype that some of us journalists have heaped upon it I think. What remains to be seen is if there is anything that Microsoft can do in order to stay competitive.