Tech giants profited 56% more in 2021, driven by pandemic
According to data compiled by the Efe agency, Amazon, Meta (which controls Facebook, Instagram and WhatsApp), Alphabet (which controls Google), Apple and Microsoft achieved a profit of $320 billion in 2021.
This figure represents an increase of 55.6% in relation to the $205 billion in 2020, a year in which, contrary to what happened in other large sectors, the profit of North American technology companies increased due to changes in habits caused by the coronavirus pandemic, such as the increase in telecommuting or ‘online’ shopping.
Among the good results of technology companies in 2021, we highlight those of Alphabet, which almost doubled its profit, from $40.2 billion in 2020 to $75.9 billion the following year.
Amazon followed, with an annual increase of 56.4%, and Apple, which grew 57.3% and became the company with the highest profit among the five ($100 billion).
On the contrary, Meta was, in 2021, the one that registered the smallest profit growth (35.1%, to $39.3 billion), while Amazon was the one that earned the least, $33.33 billion.
Alphabet, which owns Google and Youtube, was in 2021 the company whose profit grew the most, 88.8%, thanks to the increase in advertising revenue, which represented 80% of total sales. Within this segment, the turnover associated with ads through Google was the highest.
In Apple’s case, the year was marked by sales of the iPhone 13, which was launched last September and whose revenues accounted for more than half of the company’s total turnover.
For its part, Amazon recorded a strong increase due to the impulse of ‘online’ commerce, added to the increase in revenue from its industry-leading Amazon Web Services (AWS) cloud computing platform, while Microsoft defined as video games, after announcing its intention to buy Activision Blizzard.