London Daily

Focus on the big picture.
Tuesday, Mar 31, 2026

How big tech got even bigger

How big tech got even bigger

The tech industry’s titans were already huge before Covid-19, the subject of soaring valuations and snowballing antitrust investigations. The pandemic has only made them bigger. A lot bigger.

In almost every facet of life—the tools we use to work, study, and play; how we shop and interact; the way companies operate and market their products—people and businesses have become more reliant on technology over the past year. Even amid one of the most punishing economic downturns on record, spending surged on computers, videogames, online retail, cloud-computing services and digital advertising.

The result was dizzying growth for some of the largest corporations in history—and for their stock prices. At a time when companies such as airlines and bricks-and-mortar retailers struggled to survive, combined revenue for the five biggest U.S. tech companies— Apple Inc., AAPL -0.31% Microsoft Corp. , Amazon.com Inc., AMZN 0.63% Google-parent Alphabet Inc., and Facebook Inc. FB 0.60% —grew by a fifth, to $1.1 trillion. Their aggregate profit rose an even faster 24%. And their combined market capitalization soared by half over the past year to a staggering $8 trillion.

Their economic sway expanded in other ways, too, including employment: Amazon alone added 500,000 new workers in a single year, roughly equivalent to the entire population of Atlanta.

Lawmakers and regulators may yet find ways to rein them in, but the economic and societal forces propelling Big Tech to even higher heights seem likely to outlast Covid-19. Microsoft Chief Executive Satya Nadella has said that he expects spending on technology to double to 10% of gross domestic product from its current level of 5%. This month he said he now expects that to happen even faster.

Here is a closer look at the rise of the big five:

Apple


Apple was one of a number of companies that saw demand soar for laptops, tablets and other devices as many people stayed home for work and school due to Covid-19 lockdowns. The Cupertino, Calif., company unveiled a variety of new iPhone models in the year, a device that makes up a substantial portion of its annual profits. Sales of its Mac computers fell in the January-to-March quarter compared with the same period in the previous year before shooting up in the rest of 2020.

Microsoft


Microsoft has enjoyed surging sales as companies and individuals adapted to pandemic life, with its Xbox videogames, Surface laptops and myriad cloud-computing services in hot demand. Its Teams software suite, the company’s workplace collaboration tool that includes video functionality similar to Zoom Video Communications Inc. and text chat like Slack Technologies Inc., has seen average daily use numbers more than triple. In the latest quarter, the business selling ads on its Bing search engine, which struggled early in the pandemic, also turned the corner. Microsoft shares are up more than 30% over the past year and trading at all-time highs, giving the software powerhouse a market valuation above $1.8 trillion, second only to Apple.

Amazon


Pandemic-fueled online shopping powered a rapid shift to e-commerce among consumers, and few benefited as much as Amazon. The company’s revenue jumped 38% to $386.1 billion last year. To meet the uptick in demand, Amazon went on a hiring spree, adding roughly 500,000 workers. It now employs 1.3 million people globally, and if the rapid pace of hiring continues, Amazon could overtake Walmart Inc. in the coming years as the largest U.S. employer.

Alphabet


Google, the advertising behemoth, powered through the pandemic as more people spent time on the internet and increasingly shifted their spending to digital channels through the health crisis. The Alphabet unit was hurt in the first half of 2020 as advertisers paused spending in the early pandemic months, but the business rebounded later in the year. The eponymous search engine has been the advertising breadwinner for years but the company has said YouTube is seeing strong growth in ad spend.

Facebook


Facebook was already a social-networking giant prior to the pandemic, but its swath of services including Instagram, WhatsApp and Messenger continued to add users world-wide through 2020 as people spent loads of time online as stay-at-home orders grounded in-person activities.

The company has been introducing new features such as shopping into Instagram to capitalize on the e-commerce boom and strengthened the connections among its platforms to help it better compete with tech rivals. The moves also are aimed to make its products hard to quit.

Newsletter

Related Articles

0:00
0:00
Close
Russia Expels British Diplomat as UK Pushes Back Against Pressure
White House App Faces Scrutiny After Claims of Continuous User Location Tracking
BBC Faces Scrutiny Over Allegations of Paid Content Linked to Saudi Arabia
UK-France Coastal Patrol Agreement Nears Breakdown Amid Migration Pressures
UK Police Detain Pro-Palestine Activist Again Weeks After Bail Release
FTSE 100 Advances as Energy and Mining Shares Gain Amid Middle East Tensions
Eli Lilly Seeks UK Pricing Deal to Unlock Renewed Pharmaceutical Investment
Three Arrested in UK After Massive Cocaine Haul Discovered Hidden in Banana Shipment
UK Fuel Prices Poised for Further Surge Amid Global Energy Pressures
Apple Subsidiary Penalized by UK Authorities for Breach of Moscow Sanctions
Western Allies Intensify Coordinated Sanctions Strategy Against Russia
UK Lawmakers Face Criticism Over Renewed Push for Social Media Restrictions
Starmer Signals UK Crackdown on Addictive Social Media Features
Rising Costs Push One in Five UK Hospitality Businesses to the Brink of Closure
Man Arrested on Suspicion of Attempted Murder After Car Strikes Pedestrians in UK, Injuring Seven
Escalating Conflict Involving Iran Tightens Fiscal Pressures and Highlights UK Economic Vulnerabilities
UK Moves to Confront Russian ‘Shadow Fleet’ Operating in Its Waters
UK Housing Divide Deepens as Older Owners Hold Wealth While Under-30s Face Mounting Barriers
London Demonstration Calls on UK to Recognize Iranian Opposition’s Provisional Government
UK Green Party Vote on ‘Zionism is Racism’ Motion Collapses Amid Internal Disputes and Technical Failures
SNL UK Ignites Debate with Sharp Royal Satire Targeting Prince Andrew and Prince William
EU Proposes ‘Emergency Brake’ to Resolve Deadlock in UK Youth Mobility Talks
Thousands Rally in London to Oppose Rise of Far-Right Movements
Hong Kong Official Rejects Allegations of Surveillance Orders Targeting UK-Based Dissidents
PayPal Expands Cryptocurrency Services to Allow UK Users to Buy and Sell Bitcoin
UK Minister Challenges Reform Party’s ‘Pro-Family’ Agenda as Debate Intensifies
Concerns Grow Over Meningitis Risk Among UK Students Amid Warning Signs of New Outbreaks
Japanese Grand Prix 2026: Schedule, UK Start Times and Full Broadcast Details
Electric Vehicles Seen as Strategic Solution to UK Fuel Reserve Concerns
Rise of Lone-Actor Threats and Online Radicalisation Drives New Wave of Antisemitic Attacks in the UK
Canada Advances Plan to Ban Cryptocurrency Donations in Election Campaigns
UK Faces Looming Medicine Shortages as Iran Conflict Threatens Supply Chains
Deadly Meningitis Outbreak in the U.K. Highlights Urgent Need for Vaccination
Fresh Claims Emerge Over Harry and Meghan’s Australia Visit as Insider Speaks Out
NATO Assessment Indicates UK Defence Spending Has Fallen Below Alliance Average
FTSE 100 Slips as Middle East Tensions Weigh on Investor Sentiment
UK Economy Begins to Feel Early Impact of Iran Conflict as Policy Challenges Intensify
Russian National Jailed in UK After Assault Case Linked to Barron Trump’s Alert
Energy Price Surge Accelerates Shift Away from Fossil Fuels in UK Homes
UK Museums House More Than 260,000 Human Remains, New Report Reveals
Surging UK Gilt Yields Reflect Inflation Pressures and Fiscal Uncertainty
UK Issues Updated Guidance on Children’s Screen Time with Focus on Balance and Wellbeing
UK Migration Figures Show Shifting Trends Across Asylum, Visas and Channel Crossings
UK Watchdog Launches Probe into Five Firms Over Alleged Fake Reviews and Ratings
Jaguar Land Rover Halts Production at UK Plant Amid Supplier Disruption
UK Police Reverse Position, Confirm Arrests Will Resume for Palestine Action Protests
UK Small Businesses Face Europe’s Steepest Cost Pressures, New Survey Reveals
US Envoy Urges UK to Proceed with King’s Visit Amid Diplomatic Sensitivities
FTSE 100 Drops Over One Percent as Middle East Tensions Weigh on Markets
UK CO2 Plant Set to Reopen as Authorities Move to Safeguard Supplies Amid Middle East Tensions
×