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January 2024

Tech News : Microsoft Now More Valuable Than Apple

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Worries about smartphone demand have been blamed for Microsoft’s stock market value ending a trading session higher than Apple’s last week for the first time since 2021.

How Much? 

Microsoft adding 1 per cent to its stock value compared to just a 0.2 per cent rise from Apple saw Microsoft’s value (market capitalisation) reach an eye-watering $2.887 trillion, compared to Apple’s $2.875 trillion value. LSED data reported that this was Microsoft’s highest-ever valuation.

What Smartphone Demand Worries? 

Apple’s iPhone is still its main cash-cow and a recent cooling in demand for it has worried investors, affecting its market value. Most notably, recent demand worries over Apple’s iPhone can be attributed to:

– Apple facing increased competition from companies like Huawei in China at the same time as China’s economy is making a slow recovery from the COVID-19 pandemic.

– Market saturation in the US, meaning a slower pace of customers switching to the newer iPhone models. Analysts predict that Apple’s sales in the U.S. will struggle, experiencing a year-over-year decline.

– Global challenges to the smartphone industry in recent times, such as component shortages, inventory build-up, and lengthening replacement cycles, all compounded by an uncertain macroeconomic environment.

– Internal (but very public) Apple issues, e.g. the (temporary) pause in sales of its latest smartwatch models due to a ruling by the International Trade Commission, and the huge payouts due to those affected by the iPhone throttling scandal.

What Is Microsoft Doing Right? 

Microsoft’s stock value overtaking Apple’s isn’t just down to Apple underperforming. Things that Microsoft has done that have had a positive impact on its own stock value are mainly related to it being a major player and investor in AI. For example:

– The incorporation of OpenAI’s technology (with whom it is an investor and partner – a strategic relationship) across its suite of productivity software (Copilot) that also boost its cloud-computing business in the July-September quarter.

– Its move into AI and incorporating it in its products and Bing helping to challenge Google’s dominance of web search.

– The monetisation of Microsoft’s AI products and services, helping to drive its share value upwards.

– Diversification and growth in cloud computing and gaming. For example, the acquisition of video game developer Activision Blizzard has helped Microsoft to control popular titles.

– Substantial investments in AI infrastructure, including a $3.2 billion investment in expanding its AI data centre infrastructure in the UK, thereby strategically enhancing its AI capabilities, and asserting dominance in the AI sector.

What Does This Mean For Your Business? 

Microsoft has been a dominant force in the technology world for over four decades but Apple, which has also been around over four decades became the first £3 trillion dollar company last summer. However, with Apple still reliant on its iPhone, which has been around since 2007 as its main cash cow, a slowing in demand (and slump in China), coupled with Microsoft’s gains in cloud computing with its Azure and its major investment in AI has resulted in Microsoft’s significant creep ahead.

Microsoft’s leadership by CEO Satya Nadella (who took over in 2014), its ability to adapt and innovate, and its strategic partnership with OpenAI has all played major roles in its resurgence. That said, it’s facing an antitrust investigation over its apparent closeness to OpenAI which could be a threat to Microsoft’s momentum.

For Apple, all this could signal a need to further innovate and diversify its product offerings and strategies to maintain its competitive edge. Broadly speaking then, Microsoft overtaking Apple’s value for the first time since 2021 could be viewed as reflecting the growing importance and impact of AI and cloud computing in the tech landscape.

An Apple Byte : Apple To Allow Sideloaded EU App Stores

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In compliance with the regulations in the EU’s Digital Markets Act (DMA), and following the iOS 17.2 update, it’s been reported that Apple will soon be allowing iOS users to sideload app stores in the EU.

This means that iOS users will be able to download and install apps from sources other than its official Apple App Store, which has previously been the only source for downloading apps on iPhone and iPad.

It’s been reported that sideloading from app stores in the EU could be available to iOS users in the first half of 2024. This opening up of competition to something that Apple has had full control over could affect the company’s revenue if users choose non-Apple channels for app payments.

Security Stop Press : Verifying Your LinkedIn Profile

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Even though the feature was launched in early 2023 with a target of getting 100 million verified members by 2025, many people may not yet have heard that LinkedIn provides an identity verification feature on its platform.

LinkedIn’s Persona verification process confirms an individual’s identity by checking a user-submitted scan of their passport’s photo page and NFC chip, and a live-selfie against their profile information.

The value of the feature is that it enhances trust and credibility on the platform, as it assures users that the people they are interacting with are who they claim to be. This helps reduce fake profiles and scams, making professional networking and job searching more secure and reliable. Find out more here.

Sustainability-in-Tech : Green BT Street Cabinets To Become EV Charging Points

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In line with the government’s aim to increase the number of electric vehicle (EV) charging points from 50,000 to 300,000 by 2030, the BT Group has announced that it will be repurposing its old, green street cabinets to EV charging points.

60,000 New EV Charging Points 

The move, as part of a pilot scheme beginning in Scotland “in the coming weeks” will see BT’s end-of-life green street cabinets being repurposed to add 60,000 new chargers nationwide.

Green Boxes 

BT’s green boxes, a familiar sight on many streets, have traditionally been used to house cabling for phone lines and broadband but BT says the cabinets are slowly becoming obsolete as fibre-optic broadband is rolled out across the country. The company says that when the boxes reach the end of their life the old broadband equipment can be recycled, and EV points housed there instead.

Easy To Repurpose 

The BT Group says green boxes can be converted simply by using a small device to supply renewable energy to an on-street charging point, without the need to create a new power connection. The technology can actually be deployed in cabinets which are either in use or due for retirement.

Huge Step 

Tom Guy, Managing Director at BT Group said: “Our new charging solution is a huge step in bringing EV charging kerbside and exploring how we can address key barriers customers are currently facing.” 

Other Ideas 

An insufficient number of charging stations and whether charging points are available at home (or at work) have long been seen as major challenges to the growth of EV ownership in the UK (along with other factors like the price of EVs).

Some of the many suggestions for other potential kerbside solutions include:

– Lamp posts, especially in residential areas where traditional charging stations might be impractical, and they already have an electrical connection, which can be modified to include charging points.

– Parking meters. This would save space plus make use of the existing power supply and payment systems.

– Utility poles (similar to lamp posts), which have an existing power supply and are widely distributed, making them a viable option for EV charging.

– Street furniture such as benches, bus shelters, or other street furniture with integrated solar panels which could be equipped with charging capabilities.

– Retired/classic telephone boxes (only available now in some areas) can (and have been) repurposed as EV charging points, combining cultural heritage with modern technology.

– Bollards could be equipped with charging technology.

– Public toilets, which have been getting scarcer due to closures from council cuts, already have electricity for lighting and heating, and could be adapted to include EV charging points.

– Solar-powered recycling bins with built-in Wi-Fi and charging capabilities are one suggestion of an innovative way to combine waste-management and EV charging.

– Pop-up, temporary charging hubs / mobile charging stations, in areas with high demand, using existing power sources or portable generators.

What Does This Mean For Your Organisation? 

The innovative repurposing of BT’s green street cabinets essentially kills two birds with one stone, breathing new life into old infrastructure while tackling the UK’s lack of EV charging points. It’s one step in the right direction towards sustainable technology and environmental responsibility and it sounds as though it has the potential to make a major contribution (60,000) to the UK’s target of having 300,000 EV charging points by 2030. However, bear in mind that this is still only a pilot scheme.

It also seems like quite a practical option for a broad segment of the population. For organisations operating in the EV sphere, this expansion could also open new avenues for growth and innovation, as the increased infrastructure will likely stimulate demand for electric vehicles.

Environmentally, the repurposing of existing structures for EV charging aligns with green initiatives and carbon reduction goals and utilising existing assets, such as BT’s green boxes, is a way to reduce the environmental impact of constructing the necessary new EV charging stations in the UK. It also highlights how sustainability can be achieved through intelligent innovation, rather than just new construction.

Exploring the other potential kerbside solutions, like integrating charging capabilities into lamp posts, parking meters, and even public toilets, underscores the potential for creative solutions to the EV charging challenge. A versatile approach like this could well be the key to meeting the challenge of insufficient charging points in a faster, more affordable way at scale.

However, it’s still important to acknowledge that there are other remaining challenges within the EV market, such as the high initial cost of EVs, the need for widespread adoption of renewable energy sources to truly realise the environmental benefits of EVs, and the technical challenges associated with rapidly scaling up EV charging infrastructure. Addressing these issues requires a concerted effort from both the private and public sectors, with continued innovation and investment in sustainable technologies being paramount.

That said repurposing BT’s green street cabinets, alongside other innovative kerbside solutions, could offer a blueprint for how we can meet our environmental targets while fostering the growth of the EV market in the UK.