Nvidia Surpasses Apple, Reaching $3 Trillion in Market Value

Nvidia Corp. Makes History as First $3 Trillion Computer-Chip Company

In a groundbreaking achievement, Nvidia Corp. has become the first computer-chip company to reach a market capitalization of $3 trillion. The Santa Clara-based firm’s shares have surged by an impressive 147% this year, driven by the soaring demand for its chips used in artificial intelligence applications.

On Wednesday, Nvidia’s shares rose by 5.2% to close at a record high of $1,224.40, propelling the company’s market value past $3 trillion and surpassing tech giant Apple Inc. This milestone marks a significant moment for Nvidia, as it last exceeded Apple’s value back in 2002 when both companies were worth less than $10 billion each.

Nvidia’s Chief Executive Officer, Jensen Huang, has expressed the company’s commitment to advancing its AI accelerators on an annual basis. This dedication to innovation has not only solidified Nvidia’s position in the market but has also significantly boosted Huang’s personal wealth, which now stands at $107.4 billion.

The rise of generative AI has been described as a new industrial revolution, and Nvidia is poised to play a pivotal role in this transformative technology shift. Analysts believe that the company’s continued success in the GPU/CPU/networking sector will drive further growth and exceed consensus estimates.

While Nvidia’s market value still trails behind Microsoft Corp., Wall Street analysts predict that it is only a matter of time before Nvidia surpasses its competitor. In contrast, Apple has faced challenges this year, with concerns over iPhone demand in China and a recent fine from the European Union impacting its stock performance.

As Nvidia continues to lead the way in the semiconductor industry, the company’s historic achievement of reaching a $3 trillion market capitalization underscores its position as a key player in the rapidly evolving world of artificial intelligence.