The tech giants are within $100 billion of each other - the smallest gap in over two years.

Apple was the first US firm to hit $2 trillion in August 2020, but Microsoft caught up in June 2021.

Microsoft overtook Apple by $100 billion in October 2021, but Apple bounced back to $3 trillion.

Now, Apple has fallen again and is worth $2.83 trillion, while Microsoft is close behind with $2.73 trillion.

Microsoft’s stock soared 57 per cent in 2023, while Apple’s only rose 48 per cent.

Microsoft saw more minor losses in 2024, while Apple took a big hit.

Barclays said that demand for the iPhone is slowing down and that the iPhone 16 will be a flop.

Analysts think Apple relies too much on iPhone sales, while Microsoft has more to offer.

Microsoft has subscription software like Office 365, which is less affected by phone or computer sales.

Vole has been doing better pushing AI-based products where Apple missed the boat entirely.