Tech majors cash in
The tech majors piled up second-quarter revenue of $152bn, up 28% on the same period last year, and 51% from 2Q16, according to MIDiA Research. Amazon, Alphabet, Apple and Facebook all had a good quarter – though Facebook stumbled after missing estimates – and are growing at a consistent rate.
Apple and Amazon are the mega-majors, though, with each accounting for 35% of that revenue pot. Alphabet snagged 21%, leaving Facebook with just 9%.
All four companies continue to grow at highly impressive rates despite already being of vast global scale and the dominant player in each of their respective core markets, notes MIDiA.
“But the potential of the consumer tech marketplace is finite and growth will slow,” the consultancy adds. “Even though Silicon Valley eagerly awaits the next billion digital consumers, these consumers will be lower spending and predominately in markets where most tech majors are not strong, such as India and sub-Saharan Africa.”