Technology sector has not been as badly affected by the COVID-19 pandemic as many other industries. Sure, some tech companies like Uber and Airbnb are among the hardest hit due to the pandemic. The Great Lockdown is having a huge impact on their earnings, and there could be more trouble ahead for them. But other tech companies like Google, Zoom, Slack, and Facebook. Here we take a look at the ten largest technology companies in the world.
The ranking is based on data from Forbes’ annual Global 2000 list for 2020. The magazine has ranked 2000 of the world’s largest publicly-listed companies based on four metrics – assets, market value, sales, and profits. Each of the four metrics have equal weightage in the ranking. Companies receive a separate score for each metric. The magazine adds up all the four scores to produce a composite score for each company.
Notably, Forbes’ Global 2000 list doesn’t include privately-held companies. Amazon and Alibaba, which are among the world’s largest companies, are not in this ranking because Forbes has categorized them as retailers rather than as technology companies. That’s odd because both Amazon and Alibaba are far more than just e-commerce players.
According to Forbes, the top 10 largest technology companies have collectively gained approximately $800 billion in market value between April 2019 and April 2020 despite the coronavirus pandemic. In contrast, their collective profits have declined in the same period due to the pandemic, US-China trade tensions, and increased import tariffs.
These are the ten largest technology companies on the planet. Six of them are headquartered in the San Francisco Bay Area, and eight are based in the US. It speaks volumes about the clout of the American tech heavyweights.
California-based Oracle is the world’s second largest software company by revenue and market cap. It provides database software, cloud computing services, and enterprise software products. Oracle currently has a market value of $166 billion. It posted $40 billion revenue and $10.8 billion in profits last year.
9- Cisco Systems
Cisco Systems is a leading maker of networking equipment and telecom hardware. It also provides software and high-tech services. Last year, the San Jose-based technology giant was ranked among the best companies to work for. Cisco’s revenue last year was $51.6 billion with $11.1 billion in profits. The tech giant has $90.4 billion in assets, according to Forbes.
Armonk, New York-based IBM is the oldest company on this list. Founded in 1911 as the Computing-Tabulating-Recording Company, it holds a staggering 37,304 active patents. That’s despite IBM’s habit of getting rid of patents that are not strategic. IBM provides computer hardware, software, and cloud offerings. Its total assets stand at $153.1 billion, higher than its current market cap of $108 billion.
7- Tencent Holdings
Tencent doesn’t get as much media attention in the West as Alibaba, but its business is much more widespread. It owns the popular Chinese super-app WeChat and instant messenger QQ. Tencent also has video gaming, movie production, e-commerce and online payments offerings. It has also invested in dozens of technology startups all over the world.
Facebook owns some of the world’s most popular social networking apps including Facebook, Messenger, WhatsApp, and Instagram. It currently has a market capitalization of $647 billion. Last year, it generated $73.4 billion in revenue and $21 billion in profits. Facebook recently acquired a 10% stake in India’s Jio Platforms.
Intel is the fifth largest technology company in the world. The Santa Clara-based chipmaker has $147.7 billion in assets. Last year, it posted revenue of $75.7 billion with $22.7 billion in profits. Intel is investing heavily in the areas of Internet of Things, AI, and machine learning. Its stock hit a record high of $73 per share at the peak of the Dot-Com bubble, and never touched the peak again.
4- Samsung Electronics
Samsung offers a whole range of technology products and services. It has diversified business interests spanning electronics hardware, AI, security, software, and accessories. Samsung has $305 billion in assets. The company posted a revenue of $197.6 billion with $18.4 billion in profits last year.
The Redmond-based tech giant has a market value of $1.42 trillion. Through its innovative products and services, Microsoft continues to revolutionize how we work and connect. It offers software, services, cloud computing, computer hardware, and gaming consoles. Microsoft’s 2019 revenue stood at $138.6 billion with $46.3 billion in profits.
Alphabet is the parent company of Google. Its revenue last year was $166.3 billion with $34.5 billion in profits. It has $273.4 billion in assets and its stock is close to joining the trillion-dollar market cap club again. Google has attracted regulatory scrutiny for anti-competitive practices. The US regulators are reportedly bringing antitrust lawsuits against Google this year.
Apple is the largest technology company in the world. It has built a strong ecosystem of products and services. Its iPhones, iPads, AirPods, and Macs remain as popular as ever. Apple has also launched a number of services to diversify its business. Its hardware business has suffered badly due to the COVID-19 disruptions. Apple’s 2019 revenue was $267.7 billion and profits stood at $57.2 billion. It has $320.4 billion in assets, according to Forbes.