What’s clear more than ever is that America’s tech titans have formed a separate universe in which they are the sun, and everyone else — billions of humans, other companies, entire countries and governments — are mere planets that revolve around them.
Perhaps even more surprising than the size and scale of these companies is how they have mostly grown more profitable in what could or should have been economic conditions that hurt their profits.
I have been befuddled that Amazon and Apple have shown higher profit margins than those companies have had for years — possibly ever. That has happened even though the pandemic has forced those companies to reorganize factories or warehouses, deal with disrupted global shipping, scramble for parts in short supply and spend a fortune to keep their workers safe.
That chaos and unplanned spending should have made the companies less profitable, not more so. (Apple did spook investors a little by saying this week that it was having trouble getting all the parts it needs for the next few months.)
What does all this mean? Well, for one thing, members of Congress or state attorneys general might look at the numbers and ask: If, as the Big Tech companies say, they face stiff competition and could die at any moment, how could profit margins keep going up like this?
Article source: https://www.nytimes.com/2021/07/29/technology/big-tech-profits.html