A recently formed company appears poised to end Apple’s run as the world’s most valuable company. Business Insider reports that U.S.-based Alphabet Inc., a multinational conglomerate created in October as Google reorganized under the Alphabet holding company, was closing the gap last week.
Apple’s market value stood at $522 billion at the close of trading Thursday, with Alphabet valued at $515 billion. The figures represented a big change from 13 months earlier, when Apple was worth $643 billion and Google Inc. stood at $361 billion.
The report notes that the digital advertising market is booming while demand for smartphones is declining. Apple’s iPhone, which accounts for about two-thirds of Apple’s overall sales, is almost nine years old, and Apple hasn’t come up with another trend-setting device to replace it.
“Apple has already acknowledged the iPhone will begin this year with its first quarterly sales decline since it debuted in 2007,” the report notes. “The slowdown helped push down Apple’s stock price by 15 percent since the end of 2014.”