MercoPress. South Atlantic News Agency

Tech companies profits soar to over US$ 50 billion in April/June

“This quarter saw a growing sense of optimism for consumers in the United States and around the world,” Apple chief executive Tim Cook told a conference call

Tech companies Apple, Microsoft, and Google owner Alphabet reported on Tuesday combined profits of more than US$ 50 billion in the second quarter of the year. The three companies currently have a combined market value of US$6.4 trillion, more than double their market capitalization when the pandemic started 16 months ago.

“We're only in the early innings of 5G, but already its incredible performance and speed have made a significant impact on how people can get the most out of our technology,” Cook said. “Customers love iPhone 12 for its superfast 5G speeds.” Apple's profit rose to US$ 21.7 billion, on growth in iPhone sales and digital services.

Thanks to retail, entertainment and travel ads on its search engine Google and video platform YouTube, Alphabet's quarterly profit nearly tripled.

“There was a rising tide of online activity in many parts of the world, and we're proud that our services helped so many consumers and businesses,” Alphabet chief executive Sundar Pichai said.

Pichai attributed the success to long-term investments in artificial intelligence and cloud computing. Alphabet reported that profit nearly tripled from last year to US$ 18.5 billion, while total revenue surged 62% from last year to US$ 61.88 billion.

Finally Microsoft reported quarterly profits of US$ 16.5 billion, up 47% from the same period last year. The company's profits have soared during the coronavirus pandemic amid high demand for its software and cloud computing services for remote work and study.