Nvidia has done the unthinkable. It has overtaken Apple in the market with its $3 trillion market capitalisation. Thus, from being the world’s most valuable semiconductor firm, Nvidia has become the first computer chip company to touch the $3 trillion market capitalisation mark. The firm’s shares have rallied around 147 per cent this year, adding over $1.8 trillion.
On Wednesday, the company’s shares rose by 5.2 per cent and recorded $1224.40. This pushed the company’s market value to more than $3 trillion, overtaking Apple. The last time Nvidia was able to achieve this feat was in 2002, over five years before the first iPhone was released. A report in Bloomberg states that the companies then were worth less than $10 billion each.
With the growing demand for AI and generative AI, Nvidia will continue to play a major role. Jensen Huang, CEO, Nvidia, said the firm also aims to upgrade its ‘AI accelerators’ yearly. This stock gain has shot his wealth from more than $5 billion to $107.4 billion, as the Bloomberg Billionaires Index reported.
In his keynote to attendees at the National Taiwan University, Huang stated that the company will play a significant role as technology shifts to personal computers.
Nvidia has been the biggest beneficiary of the flood of AI spending, helping the company vault to become one of the world’s most valuable companies. While Nvidia still trails Microsoft by market value, many Wall Street experts believe it will only be a matter of time before Nvidia takes over.
This has been a tough year for Apple. The iPhone demand has been cooling in China, and it has had a significant fine from the European Union. However, investor interest in the iPhone is slowly improving.
