This is one of the most interesting thing to look at it is why and how America's corporate Apple has become so important for USA. It has developed or we should say it has metamorphosed itself in so many folds that it has become one of the most important elements in US economy because of its employment providing factor, offshore earning factor or new technology front or any other things. Someone has truly said about the presence of Apple in US economy that-'you can hate it, you can love it but no one can ignore it'.
S&P's Howard Silver Blatt said that Apple is trading at a new high of $ 695 per share (old high was $ 685.50), with a total market value of $ 651.5 billion. When I started at S&P in May of 1977 the entire market value of the S&P 500 was $ 623 It was not until August of 1978 that the index reached the $ 650 mark now, 34 years later, one company is $ 650 billion. So in October of 2046 will some issue be worth $ 13.9 trillion? FYI - the Aug, 1978 to Sep,2012 full market value growth calculates to a 9.3% annualized .
One of the most fascinating things from an economic point of view happened during this most recent recession: Apple posted quarter-after-quarter growth and record-setting revenue numbers. When it comes to the U.S. economy, Apple has been of the few bright spots lately, which has provided hope for many. During this past recession, as well as the one that happened after the dotcom boom, Apple didn't sit still. The company innovated through both, launching new categories of products that came directly as a result of research and development spending. Those products were the iPod and the iPad.
earnings would looks like at large without Apple. In the fourth quarter Apple gave the S&P 500 a significant boost: S&P 500 companies grew at about 6% year over year. If we take Apple out of that equation, the growth would drop to 3%. Many financial-analyst notes mentioned this, pointing out that the S&P 500 was basically rescued by Apple.
There's another interesting point that I think often gets overlooked on this topic: how Apple has basically reinvigorated the software industry for computers. It's done this by way of apps, but to some degree it's happening with desktop and notebook software as well. According to Apple's own estimates, looking at the iOS app economy, this new industry -- iOS design and development has created more than 21000 jobs and is growing in the U.S.
Apple has been incredibly important -- especially over the past decade -- to America's competitiveness in terms of global technology leadership. The iPod initially kicked off this trend, but the iPhone is the device that really set it in stone. A report came out from Nikkei in Japan highlighting the fact that Apple is now the No. 1 consumer brand in Japan. Apple is expected to continue to garner more than half its revenue from other countries. The reality is that some of the most-desired consumer-technology products globally come from Apple, a company founded and based in the U.S.
There was a period of time where America was viewed as being behind other parts of the world -- Asia and Europe in particular -- in terms of cellular technology. We had slower networks, less flashy devices and seen by all industry observers, we weren't even close to a leadership position. Then the iPhone hit the scene and truly created a new class of smart devices. The iPhone effect spurred network operators along to invest in new network technology to handle the next generation of devices. This led to accelerated adoption of 3G and now 4G networks. There are still parts of Asia with much faster cellular-data networks, but America is rapidly catching up and no longer viewed as well behind the curve by industry observers.
Ashutosh S is well known person.
Orignal From: Role of Apple in USA economy
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