We all know that Apple is a great company that provides a technology experience like none other. Their computers, iPods, iPhones and iPads have captured the hearts and pocketbooks of many people around the globe.
Their outstanding profits have them poised to become the world’s most valuable company. Currently, Exxon Mobil holds that spot, but Apple is quickly gaining ground.
Apple’s stock price grew 25 percent this year alone, and seven percent in the last few weeks after Apple announced its third quarter earnings. Apple’s value is currently around $370 billion, so at their current growth rate, it may not take long for them to catch up to the Texas based oil giant that’s valued at $412 billion.
Why is Apple such a success? Most people would answer that question by saying they sell great products. That is true, however, that is not the only thing that makes them successful. The biggest reason is all of us, the end users of their products.
We make Apple the great company they are. According to Asymco, each iOS user is worth $150 to the company every year. This figure is taken from an average of a 3.5-year lifespan for a device and the number of devices that are currently in the market. Considering most Apple users are loyal, this is a lot of recurring revenue.
Not everyone would agree with Apple’s style and in particular Steve Jobs’ egomaniacal personality as well as his lack of philanthropy. But no one can deny that cash king Apple is doing something right, and we are all buying in.
Apple is innovative, the employees are dedicated to a company they believe in, their suppliers are successful, their products fly off the shelves, and their customer service is the best in town. In turn, we buy, buy, buy — year after year.
These core principles, along with all of us, the dedicated users, should be what makes a company the most valuable in the world. Lets watch and see if Apple will pull it off!