Amazon joins $1 trillion club, on pace to overtake Apple

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Amazon has become the second company listed in the United States to achieve a market value of $1trn (£779.3bn).

It was a temporary milestone, as Amazon shares hit $2,049.50 Tuesday morning then fell back.

Amazon‚ which employs almost half a million people‚ started out as an online alternative to bookshops‚ but has since expanded into selling household goods‚ tech and even groceries in certain large U.S. cities. For instance, Amazon Web Services, a unit that provides hosting and cloud computing for other businesses, brought in $20 billion in revenue in 2017.

Analysts said the success of the company's cloud business, Amazon Web Services, and rapidly-growing advertising arm have helped reassure investors who have long anxious about Amazon's profitability. And its cloud computing services for companies have become a major driver of earnings and revenue.

Amazon.com Inc on Tuesday briefly joined Apple Inc to become the second $1 trillion (777.79 billion pounds) publicly listed USA company after its stock price more than doubled in a year as it grew rapidly in retail and cloud computing.

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Amazon is the second corporation to exceed $1 trillion in value after Apple, which crossed the threshold on August 2.

Amazon founder Jeff Bezos is the world's richest man, worth over $150 billion.

Amazon's $1 trillion has been coming for weeks.

For fiscal 2017, Amazon and its 560,000 employees around the world reported total sales of $177.87 billion, netting it an adjusted profit of $6.15 per share, according to the company's annual report. It has held above that level since October 27, 2017. The company's stock has surged more than 70 percent since January, outperforming Apple, which has gained more than 30 percent. In comparison, Apple has risen about 35.0percent in 2018.

Even more telling is Amazon's size when compared with the entire national stock markets of other countries.

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