As of the moment technology is changing your life in every way from the way you walk, the way you eat, the way you live and the way you interact with your fellow humans. However, as technology is changing your lives, there are some tech companies which have decided to make billions out of this industry. Which companies do you think are the Tech giants in the world? More companies are investing in technology, just like more people are trying out online games with the best promo codes that they can get.
There are five major companies that have taken significant steps into financing and facilitating the research of technology, offering the latest forms of technology. The tech giants include:
A close look at these companies you will notice that they have all made significant moves in terms of making a profit, sales, market valuation, market capitalization and overall assets. In addition, the founders of these companies such as Jeff Bezos of Amazon and Bill Gates of Microsoft are some of the worlds wealthiest billionaires. In this article are going to take a closer look at how these companies make their billions and you can even take some tips from them.
How do these tech companies make their money?
Let’s start by looking at their origin story. If you have ever read any of these companies founding stories you will notice that they are almost all the same. Not only are they all based in the US but it seems they all originated from the West Coast, but that’s a story for another day.
It is without a doubt that these companies make their money from the number of consumers who use their platforms. For instance, in 2018 there were 1.78 million active users who are using Facebook. This was a 20% increase year-on-year since 2016. It is without a doubt that as more Facebook users use the social media site. It has been ensuring that it has its grip in the social media niche although there are a lot of social media sites which are coming up.
If you are still wondering how these companies generate their revenue, I will give you a straight forward answer it is through you. I’m sure by now you might be asking how? As I mentioned earlier, all these companies are consumer-based meaning that you are the consumer and you are the product.
1. You are the consumer.
If you take a closer look at Amazon Microsoft and Apple they offer you products which you purchase. For instance, Apple offers products such as iPhones, Macs and Airpods which you run to buy and that’s how they easily generate their revenue. It’s that simple.
2. You are the product.
The other two companies which are Facebook and Alphabet earn their revenue by offering you advertising platforms. For instance, Google ads earn the Alphabet company 85% of its Revenue.
Let us know what you think about these tech giants.