Technology
The Top 20 Tech Companies by Revenue Per Employee
The Top 20 Tech Companies by Revenue Per Employee
Whether the goal is to organize the world’s information or to build an algorithm that makes millions of lives easier, pretty much every tech company in existence aims to leverage software in some way to do the types of jobs that would otherwise be impossible or uneconomical for humans to do.
Tapping into the properties of the digital world allows these companies to do more with less. They can have global reach with minimal infrastructure, massive scale with little overhead, and impressive revenues without any physical inventory.
Tech companies can even “provide” a service by simply connecting people through a platform, rather than knowing how to perform the service itself.
“Our Greatest Asset”
With this kind of scale, every action taken by an employee packs an extra punch to have an effect on company performance. It’s why companies like Google, Facebook, and Microsoft are willing to pay an arm and a leg for the smartest engineers. These teams are not physically turning out widgets in a factory under the constraints of normal economic factors – instead, they are applying their brains to a codebase, and even the tiniest cost savings can add up when multiplied by millions of users.
Today’s visualization from cost information site HowMuch.net helps put this all in perspective by showing revenue per employee of some of the world’s largest tech companies that are a part of the S&P 500.
Here’s the data in table form:
Rank | Company | Revenue per employee |
---|---|---|
#1 | Apple | $1,859,000 |
#2 | $1,621,000 | |
#3 | Alphabet | $1,253,000 |
#4 | VeriSign | $1,154,000 |
#5 | Visa | $1,062,000 |
#6 | Mastercard | $906,000 |
#7 | Broadcom | $843,000 |
#8 | Lam Research | $785,000 |
#9 | Qualcomm | $772,000 |
#10 | Microsoft | $748,000 |
#11 | Applied Materials | $694,000 |
#12 | Activision Blizzard | $688,000 |
#13 | Cisco | $684,000 |
#14 | Xilinx | $640,000 |
#15 | Yahoo! | $608,000 |
#16 | PayPal | $599,000 |
#17 | Intuit | $594,000 |
#18 | Intel | $560,000 |
#19 | KLA-Tencor | $535,000 |
#20 | AMD | $521,000 |
List only based on S&P 500 companies listed in “Technology” category
Facebook, Alphabet, and Visa each bring in over $1 million in revenue per employee – and Apple rakes in nearly $2 million per person.
While these numbers are impressive, not all tech companies on the S&P 500 are masters of scale. In fact, the average tech company brings in closer to $480,000 of revenue per employee.
This amount is comparable to other sectors that make up the S&P 500, like Materials ($600,000 per employee) or Consumer Discretionary ($420,000 per employee).
Technology
The World’s Biggest Cloud Computing Service Providers
Cloud computing service providers generated $270 billion in revenues last year, concentrated among a few giants.
The World’s Biggest Cloud Computing Service Providers
This was originally posted on our Voronoi app. Download the app for free on iOS or Android and discover incredible data-driven charts from a variety of trusted sources.
Today, the three largest cloud computing service providers command 66% of the global market.
Amazon, Microsoft, and Google have generated billions in revenues through their cloud infrastructure that provide the computing power companies need to store data. What’s more, most AI models are run on the cloud, creating a surge in computing demand for cloud providers.
The above graphic shows the largest cloud providers globally, based on data from Synergy Research Group.
Breaking Down the Cloud Market
Here are the world’s top cloud computing service providers based on enterprise revenues as of the fourth quarter of 2023:
Provider | Country | Market Share Q4 2023 |
---|---|---|
Amazon Web Services | 🇺🇸 U.S. | 31% |
Microsoft Azure | 🇺🇸 U.S. | 24% |
Google Cloud | 🇺🇸 U.S. | 11% |
Alibaba Cloud | 🇨🇳 China | 4% |
Salesforce | 🇺🇸 U.S. | 3% |
IBM Cloud | 🇺🇸 U.S. | 2% |
Oracle | 🇺🇸 U.S. | 2% |
Tencent Cloud | 🇨🇳 China | 2% |
Other | 🌐 Other | 21% |
With 31% of the global market share, Amazon’s cloud division posted $24.2 billion in revenues over the quarter.
AWS is a major cash engine for the company, but growth slowed over 2023 as enterprises and startups cut back on tech spending. Annual sales growth compared to the same quarter last year grew by 13%—far below competitors Microsoft and Google, whose cloud divisions grew by 30% and 26%, respectively.
As we can see, U.S. firms make up the lion’s share of the market, while China’s Alibaba Cloud and Tencent Cloud together comprise 5% of the global share.
The AI Boom and the Cloud
Given that a significant chunk of AI models are run on the cloud, the industry may be positioned to see greater demand as momentum accelerates.
In fact, newer AI systems are as much as 10 to 100 times larger than older models. In line with this, major cloud providers are seeing high demand for cloud services to allow companies across financial to manufacturing sectors to run large language models on their platforms.
Today, 98% of companies globally rely on the cloud for at least one part of their business applications, which may present a market opportunity for the industry as advancements in AI continue to grow.
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