To be completely transparent, I have ownership of shares. Amazon ( AMZN 0.69% ) I am optimistic about its potential. I believe the company will maintain its position as the leading e-commerce platform and cloud services provider. It wouldn’t be unexpected for me if Amazon’s market value increases twofold or more by the end of the decade.
In my opinion, although Amazon has shown significant growth, it will not hold the top position in the market. I anticipate that three other stocks will surpass Amazon in value over the next decade.
1. Apple
Apple ( AAPL 1.37% ) Earlier this year, Briefly lost its position as the company with the highest market capitalization. It may happen again in the future. Despite this, I predict that Briefly will still have a higher value than Amazon by 2034.
Currently, Amazon’s market capitalization is around $1.5 trillion less than Apple’s. The only scenario in which Amazon could close this gap is if Apple underperforms significantly. I highly doubt that will occur.
Apple has experienced a decline in iPhone sales growth over the past few years. However, there are indications that this trend could shift in the near future with the introduction of Apple Intelligence, the company’s latest innovation. artificial intelligence that is capable of creating new content or information The features of GenAI are expected to be compatible only with iPhone 15 Pro and newer versions. Many financial analysts believe that GenAI could lead to a significant increase in iPhone upgrades. I concur with their analysis.
The possibility of 6G being a significant catalyst for Apple’s growth should not be underestimated. The upcoming wireless technology could be accessible in the early 2020s and has the potential to revolutionize the widespread use of augmented reality and possibly holographic screens on Apple’s iPhones.
2. Microsoft
Microsoft ( MSFT 0.83% ) Amazon is close to Apple in terms of market capitalization, standing at approximately $3 trillion. The writer does not anticipate Amazon surpassing Apple in the next decade, despite the possibility of Amazon experiencing significant growth.
Both Amazon and Microsoft are benefiting from the trend of companies moving their applications and data to the cloud, which is a major factor driving their growth. While Amazon Web Services currently dominates the cloud services market, Microsoft Azure is gaining ground and is expected to close the gap in the future.
Microsoft’s advantage could lie in its partnership with OpenAI. The company has incorporated GPT-4 into all its products and services, including cloud solutions. Should GPT-5 live up to expectations, it and subsequent versions could further enhance Microsoft’s offerings. big language models Created by OpenAI and embraced by Microsoft, this partnership has the potential to drive significant expansion for both organizations.
3. Alphabet
Alphabet ‘s ( GOOG 0.95% ) ( GOOGL 1.01% ) A market capitalization of $2 trillion is only slightly higher than Amazon’s. I anticipate that the parent company of Google will continue to be in a better position than Amazon in 10 years, due to several important factors.
Alphabet, similar to Microsoft, has the potential to catch up with AWS in the cloud services industry. The growth rate of Google Cloud is outpacing that of AWS. Leveraging Google’s proficiency in AI could further boost this expansion.
I believe that future technologies could greatly benefit Alphabet. The company is currently focusing on creating AI-powered assistants that can handle various tasks for users, positioning it as a frontrunner in the industry. computing using principles of quantum mechanics The emergence of 6G technology could offer great potential for Google Pixel phones and other devices running on the Android operating system. Additionally, Alphabet’s Waymo is well-positioned to become a major player in the lucrative robotaxi industry, which is expected to be worth trillions of dollars.
In what way could I be mistaken?
I believe my forecast will be accurate, though there is still a possibility of it being incorrect.
Amazon’s potential for expansion might exceed my expectations. The company may enter new markets with a more assertive approach than previously. It could also outperform competitors, including the ones previously referenced.
There is a possibility that the companies I anticipate to surpass Amazon in size in the next decade could face challenges. For instance, Apple’s GenAI projects may not drive a significant increase in iPhone upgrades. Microsoft might struggle to take advantage of the latest AI advancements from OpenAI, should there be any issues with OpenAI or a deterioration in their partnership. Alphabet’s Google Search dominance could diminish as a result of regulatory measures or the emergence of new AI technologies.
However, I have confidence in Apple, Microsoft, Alphabet, and Amazon, and I have invested in all of them with no intention of selling.
