Nvidia, the giant GPU manufacturing company, is now the world’s most valuable company in terms of market capitalization. The company has overtaken Microsoft to reach the pinnacle with $3.33 trillion in market cap, edging past Microsoft’s $3.31 trillion market cap, as per stats on Marketcap (via Gamespot).
After the top two spots, Apple is ranked third at $3.2 trillion, followed by Google’s parent company Alphabet which has a market cap of $2.17 trillion. Amazon is the fifth most valuable company with its market cap at $1.90 trillion at the time of writing.
Nvidia is a leading graphics card manufacturer and faces active competition from AMD, but the rival company also invests its time and energy into providing processors to the tech market. While Nvidia’s GeForce RTX graphics cards have been facilitating AAA gaming in desktops and laptops for years, this rise to the top could be attributed to the recent AI boom.
Nvidia has long been known for investing its resources and research into AI, and its shift in focus can be dated back to as far back as 2006 when it released Compute Unified Device Architecture (CUDA), a parallel computing platform.
The focus on AI has paid dividends for Nvidia in the long run, now that the tech market is chasing after an AI-powered future. To achieve that, tech companies that are investing in AI require GPUs that can handle the AI processes, and that’s where Nvidia’s value comes into play. The company’s stock price has seen over 200% growth since 2023.
With the focus on generative AI increasing rapidly, and companies such as Microsoft and Apple introducing the likes of Copilot+ and Apple Intelligence, Nvidia stands to profit. Currently, Nvidia’s stock price is hovering around $135, and this is due to the stock split of 10:1 decided by the company in June after an announcement back in May.
