Market capitalization is a measurement of corporate or economic size equal to the share price times the number of shares outstanding of a public company. As owning stock represents owning the company, including all its assets, capitalization could represent the public opinion of a company’s net worth and is a determining factor in stock valuation. The total market capitalization of all publicly traded companies in the world was US$51 trillion in March 2007
Market capitalization represents the public consensus on the value of a company’s equity. A corporation, including all of its assets, may be freely bought and sold through purchases and sales of stock, which will determine the price of the company’s shares. Its market capitalization is this share price multiplied by the number of shares in issue, providing a total value for the company’s shares and thus for the company as a whole.
Of the top 100 companies with the largest market cap 25% of them are serving the markets of communications. Either through wireless, landline, broadcasting or internet technologies. Of the top five with the largest market cap 20% are centric to communications and internet technologies. EXXON is #1 with a market cap of over $560 Billion and Microsoft is #5 with a market cap over over $260 Billion. The other three in the top five are centric to energy.
It seems obvious that enabling, empowering, enhancing and enriching consumers and business to effectively and efficiently communicate is a very big business that impacts the value of the world economy. After all, what would happen to our economy if all communications stopped for one hour or even one minute. Think about it.
What Three Markets Have The Greatest Influence over Communication?
There are three basic networks that drive mass communications today. Cable TV, Wireless Networks and The Internet. Media of all sorts flow through these networks and the world economy has become dependent upon them as currency of information that impacts the economy on a global scale. These communications network also represent the largest single influence over society. Everything evolves around communications.
Given this economic and influential power the Big grow Bigger through growth within existing markets or creation of new products and services to facilitate new markets. The other growth strategy is mergers and acquisitions. The race to get bigger in the world of connected communications is on and future developments will only expand the markets worth.
Could The Future Wealth Be in Massive Convergence of Broadcast, Internet and Wireless Networks?
Consider this scenario for a minute. We are currently watching Microsoft and Google bid for Yahoo. We’re also seeing Comcast expand its offering and its network. Verizon is doing the same. Of all these players Microsoft is the player with the biggest market cap or in other words they have the most currency.
Google’s market cap is roughly $172 Billion. Verizon’s is roughly $100 Billion and Comcast is $64 Billion. If they were to merge together, not likely, then the effective market cap would be more than Microsoft and it would make the top five list or global companies with the largest market cap. This scenario could create a company, i.e. ComVerGle, whose reach and value actually becomes more than the combined pieces. The reach and influence would be enormous.
This scenario is actually a playlist of opportunities for individuals using all that the combined companies listed in this post offer. We, as individuals, have actually been enabled and empowered to create our own ComVerGle simply by wisely using the free tools of the web to create whatever we want. While individually we do not have a market cap collectively we are the entire market cap for the world economy. Without consumption there is no market.
Now the game is what will we collectively do with the empowerment of all the enablement tools at our disposal to create enhancements and enrichments to our markets, the people we connect to. Maybe we can create our own market using the utilities of the old markets/
What say you?