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- Published: June 6, 2024 17:55
New Delhi: In a dramatic turnaround in the tech world, Nvidia has become the first computer chip company to hit $ 3 trillion and thereby surpassed Apple to become the second-most valued company in the world.
According to market insights, the shares of Nvidia have multiplied in an unprecedented way to rack up 147% from the previous mark. Furthermore, the quenchless drive for Nvidia chips to power cutting-edge AI technologies has accrued a whopping $ 1.8 trillion this year.
Nvidia pic.twitter.com/14NjjcbmEW
— Trung Phan (@TrungTPhan) May 29, 2024
This financial boost also upped the shares of Nvidia by 5.2% to close at a record $ 1,224.40 and thereby pushed the company’s revenue past the $ 3 trillion mark. Interestingly, the last time Nvidia overtook Apple was 22 years back in 2002 when the latter was establishing its footing in the tech world.
NVIDIA just hit a $3 trillion market cap, surpassing Apple.
Everyone wants to be Apple, NVIDIA was ignored for years.
It's today's reminder that being in the "picks and shovels" business is a beautiful thing.
Those who help others succeed, usually come out on top. pic.twitter.com/IfuDobi370
— GREG ISENBERG (@gregisenberg) June 5, 2024
NVIDIA’s plans for expansion
Nvidia’s financial success is partly the reason for the aggressive plans of the company’s CEO Jensen Huang. Huang has made grand plans to ramp up the production of its utilitarian chipsets in this AI boom in the market. According to an inside report from the Bloomberg Billionaires Index, Nvidia’s stake in the AI boom has accrued them an amount between $ 5 billion to $ 107.4 billion.
Furthermore, according to Huang, Nvidia is expected to be playing an even bigger role in the technological boost in the coming days. It also means that the company will be scraping off a lion’s share of the entire financial remuneration that is segmented in the technical field.
Nvidia's officially reached the $3 trillion mark
What a run pic.twitter.com/TPYvzoSjKS
— Morning Brew ☕️ (@MorningBrew) June 5, 2024
Angelo Zino, a senior equity analyst at CFRA Research believes that this shift in the financial axis in favour of Nvidia is just a drop in the ocean. Zing remarked on the immense potential of the company by stating, “We see this sea change as in the very early innings.”
Currently, Nvidia is only behind Bill Gates’ Microsoft Corporation which has the highest market size. However, with a potential AI boom underway, the Santa Clara-based company has high hopes to overtake Microsoft in the coming future.