Society

“Big Tech’s Big Numbers”

Recently, big tech all posted their third quarter earnings showing many unexpected results throughout. Facebook, Alphabet, and Amazon all displayed good numbers for Q3, also showing our increasing dependence on their services during this pandemic. Facebook’s net income increased by 29%, with a 12% increase in monthly active users. Alphabet increased 59% in net income, with Youtube Ad revenue reaching $5.04B. Amazon increased its net sales by 37%, while tripling its net income. On the other side of the spectrum, Apple and Twitter posted disappointing numbers. Apple’s stock decreased 5% with its delayed iPhone sales estimates. Twitter also decreased in stock price, but by 17%, with much less new users than usual. 

From these percentages, we can learn and observe several trends that show our overall behavior influenced by the pandemic. In the third quarter, Amazon is flooded with early holiday shoppers, indicating a truly exciting holiday season for Amazon. Additionally, the news of antitrust hearings most likely served as publicity in a certain way for all of these companies. Youtube greatly boosted Google’s earnings, with many viral DIY face mask tutorials and workout videos that are almost always present on a screen somewhere in the house. Facebook has also been soaring, reaffirming the idea of people only interacting through screens now that in-person options have been drastically reduced. Apple’s delayed phone announcement contributed to its loss in stock market, but will most likely boost its Q4 earnings due to the hype built around its products through virtual events like never seen before. Twitter’s loss is interesting, as it has become an intensely politically polarized field, with the election a couple days in sight, implying that there would be more active users, but it is the opposite.

Sources:

https://www.wsj.com/livecoverage/alphabet-amazon-facebook-apple-twitter-earnings

https://www.reuters.com/article/usa-technology-stocks-idUSKBN27E318

https://finance.yahoo.com/news/tech-q3-earnings-facebook-google-201238609.html

Categories: Society