Tech’s megacaps are now worth $21 trillion as market caps swell
Sundar Pichai, CEO of Alfabe and Google, comes together with Polish Prime Minister Donald Tusk on Google for initiatives in Poland in Poland on 13 February 2025.
Klaudia Radecka | Nurphoto | Getty Images
From the courtroom to the board of directors, it was a big week for technology investors.
The solution of Google’s antitröst case, Alphabet And Apple. Broadcom The shareholders applauded a new customer of $ 10 billion. And Tesla’s Stock was floated by a newly recommended payment package for CEO Elon Musk.
Add and the US Technology Industry’s eight trillion dollar company has gained a total market value of $ 420 billion this week and despite a slide, raised its total values for 21 trillion dollars Nvidia share.
These companies now make up about 36% of the S&P 500, which is such a large rate compared to historical standards.
This week’s gains had a certain irony.
The 9% leap of the alphabet on Wednesday was directly attached to the US government’s effort to reduce market control of the search giant, which is part of the campaign to break the major technology. Since 2020, Google, Apple, Amazon And Meta All of them were shot by the Ministry of Justice or the Federal Trade Commission with the allegations of antitröst.
A year ago, Google lost to Doj, a result of many of them as the most important antitröst decision for the technology industry, Microsoft More than twenty years ago. However, in the solutions that reign this week, the US regional judge Amit Mehta Said Google will not be forced to sell the Chrome browser despite the loss in the court, and instead a more limited penalty, including the obligation to share search data with competitors.
The decision lifted Apple with the alphabet, because companies may remain loyal to an arrangement that includes Google’s payment of Apple Billions of dollars a year to be the default search engine on iPhones. The alphabet increased by more than 10%for the week and added 3.2%and helped increase 1.1%of Nasdaq.
Analysts in Wedbush Securities wrote in a note that the decision “lifted a big protrusion” in Google’s stock and the “black cloud concern” hanging on Apple. They also said that companies have cleared the way of making a larger artificial intelligence agreement with Google’s AI models Gemini.
“This is the basis for Apple’s continuation of its agreement, and as a result, Google Gemini doubles more partnerships about AI on the road.”
Mehta explained that an important factor in its decision is the emergence of productive AI, which has become a much more competitive market than traditional search and significantly changed its market dynamics.
Openai, anthropic and surprise new players changed the dominance of Google, Mehta, said, productive AI technologies can “yet be a game changer,” he said.
On Friday, alphabet investors shrugged a separate antitröst issue from Europe. The company was shot with a fine of 2.95 billion-EURO ($ 3.45 billion) from the European Union organizers for anti-competitive applications in advertising technology business in advertising technology business.
Broadcom Pops
Although Openai is an indirect catalyst for Google and Apple this week, Broadcom’s stock is large rally.
Following Broadcom’s better earnings report on Thursday than expected, CEO Hock Tan will be the fourth largest AI customer of the company’s fourth largest AI customer.
A few analysts reported that the new customer is Openai and that Financial Times is a partnership between the two companies.
Broadcom is the newest participant of the trillion -dollar club thanks to the company’s special chips for AI, which is already used by the company’s Google, Meta and Tiktok parental. With a 13% jump this week, the stock increased by 120% last year and increased Broadcom’s market value to about $ 1.6 trillion.
“The company is shooting at all cylinders with a line of view for growth supported by an important subsidiary,” Barclays analysts, protecting purchasing advice and raising their price targets to the stock.
For the other giant AI chip manufacturer, it was not very good last week.
NVIDIA shares fell more than 4% in the low week, the worst performance between Megacaps. There was no significant negative news for Nvidia, but the stock fell for four weeks.
Nevertheless, Nvidia continues to be the largest company according to the market value above $ 4 trillion, and its stock increases by 56% in the last 12 months.
Microsoft It also fell this week and fell for five weeks on a stretched slide. In the last 12 months, stocks have still increased by 21%.
Flipside, Tesla was a delay in the group. The shareholders of the electric vehicle manufacturer decreased by 13% this year due to the increasing competition of lower -cost Chinese manufacturers and a very quarter -sales decrease reflecting the aging series.
However, Tesla shares climbed 5% this week, and after saying that the company wanted investors to approve a payment plan that may touch approximately 1 trillion dollars, he set out on Friday.
The payments allocated to 12 slices would require Tesla to see the significant value appreciation starting from the first award, which would not start until it doubles the company market value for almost $ 2 trillion.
TESLA President Robyn Denholm said that the plan from CNBC Andrew Ross Sorkin was the focus of the world’s richest person Musk for “focusing on surrendering and focusing on focusing on the company.”
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