Vanity Fair wasn’t at all nice with Microsoft a couple of weeks ago, to which we partly agreed, but the fact that Forbes is now talking about it just makes the whole news official. In a sort-of-unbelievable note, if Apple were to spin the iPhone as a separate business today, it would be worth more than all of the Microsoft products combined.
According to Forbes, this is merely a result of comparing sales between the iPhone and all of Microsoft’s products since last-quarter’s results showed the iPhone selling a total of $22.7 billion when compared to Redmond’s $17.4 billion. A comparison between stocks or even profits would be too subjective, since it’s kind of hard to separate those numbers for just one Apple product, even though the total number of these is known for Microsoft. Profit numbers alone would be much different considering that the iPhone is a hardware product that needs to be manufactured, where as Microsoft only produces certain hardware products and the rest is software. Sales figures are really the best way to compare in this scenario, and are quite clear.
Still, can you believe it? Apple’s five-year-old iPhone is worth more than Microsoft’s Windows, Office, Xbox, Bing, Windows Phone, and every other product that Microsoft has created since 1975. I still have a hard time believing it since just two years ago, Microsoft’s market cap was still superior when compared to Apple’s.
If this is not a wake-up call for Microsoft, I don’t know what is. Sadly, with so much “fanboyism” about how great Microsoft products “will be” with the integration of their new Windows 8 UI (previously Metro), it makes you wonder if things are being pushed in the right direction when such a corporate giant can’t even beat a phone.