Microsoft is now the world’s most valuable company, surpassing Apple

Hold on to your hats, folks. There’s been a shakeup at the top. For years, Apple has reigned supreme as the world’s most valuable company. But guess what? The tables have turned.

Microsoft is now sitting pretty in the number one spot. Yes, you read that right. Microsoft!

What Happened? Blame the Tariffs

How did this happen? Well, it’s a bit complicated. But a big piece of the puzzle involves tariffs. Remember those?

President Trump slapped tariffs on China. China then retaliated with their own tariffs on American goods. Ouch.

Apple’s stock took a nosedive. We’re talking a 23% drop in just four days. That’s over $700 billion gone. Poof!

Apple’s China Connection

Why did this hit Apple so hard? Because they rely on China to make most of their iPhones. Like, 90% of them.

Tariffs could cost Apple a whopping $34 billion a year, according to some analysts. And guess who might end up paying for that? You got it, the customers.

Panic at the Apple Store?

Word got out that iPhone prices might go up. And what happened? People started flocking to Apple stores. A buying frenzy!

Folks were worried about future price hikes and were buying phones in a hurry, according to Apple store employees.

Trump’s Take on Tariffs

Trump has said tariffs will boost the U. S. economy. How? By encouraging companies to bring jobs and factories back home.

He also pointed to the big trade deficit. Over a trillion dollars last year. That’s a lot!

Made in the USA? Not So Fast

Will Apple start making iPhones in the U. S. ?Probably not .It would cost them a fortune .

One analyst said it would take $30 billion and three years just to move a small part of their supply chain here. A U. S. -made iPhone could cost you $3,500. Yikes!

The Upside (Maybe)

Tariffs do bring in money for the government. Billions, according to Trump.

One group estimates tariffs could generate almost $3 trillion in revenue over ten years.

But There’s a Downside

The bad news? You might pay more for stuff. One study says the average household could lose almost $4,000 in purchasing power because of tariffs.

What’s Next for Apple?

Apple hasn’t said anything about raising prices yet. They’re probably selling off their existing inventory for now.

But expect to feel the impact of tariffs later this year. Keep an eye on your wallet!