Nvidia, the AI chipmaker, has achieved a market capitalization of $3 trillion, overtaking Apple to claim the title of the second most valuable publicly traded company globally, behind Microsoft. The surge in Nvidia’s shares to $1,224.40 on Wednesday, driven by the increasing demand for its AI processors, has solidified its position in the tech industry.
Nvidia, the AI chipmaker, has achieved a market capitalization of $3 trillion, surpassing Apple to become the second most valuable publicly traded company globally, behind Microsoft. Shares of Nvidia surged to $1,224.40 on Wednesday, marking a 5.16% increase, driven by the growing demand for its AI processors.
This milestone follows a period of significant growth; Nvidia’s stock has increased by 147% in 2024 alone, after soaring 239% in 2023. The company has been a primary beneficiary of the AI boom, with its data center chips powering AI models for companies like Microsoft, Meta Platforms, and Google.
Nvidia’s revenue for the latest quarter reached $26 billion, more than tripling from the same period a year prior. The company also announced a 10-for-1 stock split effective on June 7, aimed at making its shares more accessible to individual investors.
Nvidia’s market ascension underscores a shift in Silicon Valley, historically dominated by Apple since the launch of the iPhone in 2007. Apple, which has faced declining iPhone sales and increased competition in China, remains the third most valuable company with a market cap of $3 trillion.
Overall, Nvidia’s impressive growth and strategic positioning in the AI sector have led to its substantial market valuation, highlighting its critical role in the ongoing AI revolution.
