Alphabet became the third U.S. business to reach a $1 trillion market capitalization in January 2020.
Alphabet is the parent company created during Google’s 2015 corporate restructuring. Google remained the group’s principal business, while Alphabet separated major activities such as internet services, research, and experimental projects into a broader holding-company structure.
The milestone followed Apple and Microsoft, which had already crossed the trillion-dollar threshold. Alphabet’s valuation reflected investor expectations for Google Search, advertising, YouTube, and cloud computing. Market capitalization is calculated by multiplying a company’s share price by its outstanding shares, so it changes continuously rather than representing a fixed company value.
Alphabet is often confused with Google because Google is its largest subsidiary, but the listed parent company is Alphabet Inc. Amazon later joined the same trillion-dollar group, followed by other technology companies.