Riding on an unquenchable demand for its processors, which made the tech firm the pioneer of the generative artificial intelligence boom, Nvidia reached a $2 trillion market capitalization.
As the demand for AI processors continues to soar, NVIDIA’s market value is also on the rise. In the world of personal computers, NVIDIA graphics cards are legendary.
There has been a near-doubling of NVIDIA’s market value in the last twelve months. The company’s market worth topped $1 trillion in 2023.
This record-breaking gain was the result of the chip designer’s record-breaking sales projection, which sent its stock price soaring by $277 billion—the biggest one-day gain in Wall Street history.
Thousands of NVIDIA GPUs are used by businesses like OpenAI to run ChatGPT, which handles requests from over 100 million users.
NVIDIA’s chips are used by Meta, Google, Amazon, Oracle, and even Microsoft.
Since nearly all of the major participants in generative AI, from chatGPT vendor OpenAI to Google, are using Nvidia’s chips, its meteoric rise over the past year has prompted analysts to draw comparisons to the picks and shovels suppliers during the 1800s gold rush.
Apple and Microsoft are among the few corporations that have ever reached the $2 trillion mark in revenue.
With its current market valuation, NVIDIA is now the fourth most valuable business in the world. It currently trails Apple, Microsoft, and Saudi Aramco.
According to the closing share prices on Friday, the corporation is currently valued at $2 trillion. To put things in perspective, NVIDIA reached its second trillion-dollar valuation in just eight months, but it took the business more than twenty years to reach its first.
When New York opened for business last Friday, the group’s shares started to rise, briefly reaching the milestone. Nevertheless, they eventually faltered and ended the day up 0.4%, valued at over $1.97 trillion.
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