Artificial intelligence was a huge tech topic in 2023 and will likely continue in 2024. Microsoft and OpenAI are leading the AI revolution. Experts say Microsoft’s AI success could give the company a major boost, similar to when Apple launched the iPhone.
The iPhone’s phenomenal success propelled Apple’s growth for over a decade. If Microsoft’s AI takes off like the iPhone, it could transform the company’s fortunes in the future.
Microsoft is the most valuable company in the world thanks to AI
Microsoft shares have grown 7% in 2024 so far. The company now has a valuation of over $3 billion, surpassing Apple as the world’s most valuable company. Reuters Analysts believe Microsoft could lead for many years.
The key reason behind Microsoft’s financial success is artificial intelligence (AI). Microsoft moved early by partnering with OpenAI, creators of ChatGPT and Dall-E. This established Microsoft as an AI leader.
Microsoft created its own chatbot, Copilot, and has integrated AI across products like Office 365, Windows, and Edge. AI will likely play a big role in the next Windows too. It may also help Microsoft dominate the cloud computing market.
While Apple uses AI in areas like iPhone photography, it isn’t as extensive as Microsoft’s AI push. Investors expect Apple will expand its AI focus in the future, but believe Microsoft’s head start gives it an advantage for now.
What do you think about Microsoft’s big bets on AI? Will they maintain dominance for years or will rivals catch up?