Nvidia has overtaken Apple to become the world’s most valuable company, highlighting the expanding influence of artificial intelligence. Nvidia’s market value surged nearly 3% on Tuesday, reaching $3.43 trillion, just surpassing Apple’s $3.4 trillion. Its stock, which has almost tripled in 2024, closed at $139.91 before a slight dip in after-hours trading.
Driving AI Growth with GPUs Nvidia’s rapid growth stems from its position as the primary supplier of GPUs (graphics processing units), essential for running AI-powered technologies. The company’s revenue has doubled over the last five quarters, a testament to its pivotal role in AI infrastructure.
Joining the Trillion-Dollar Club Earlier this year, Nvidia became the third company to surpass the $3 trillion valuation milestone, joining the ranks of Apple and Microsoft. Nvidia first surpassed Apple in market value in June but temporarily fell back to the second spot. While Apple, known as the first company to hit $1 trillion and later $2 trillion, has been working on AI features like “Apple Intelligence” for iPhones, it has lagged Nvidia in chip acquisition and AI application development.
Big Tech’s Investment in Nvidia Nvidia’s rise has been fueled by significant investments from major tech companies like Microsoft, which rely on its GPUs for AI applications, including OpenAI’s ChatGPT. Microsoft, valued at around $3.1 trillion, is a key Nvidia customer as it advances its own AI projects.
New Milestone in the Stock Market Nvidia recently replaced Intel in the Dow Jones Industrial Average, a major shift aimed at better representing the semiconductor industry in the blue-chip index. This change underscores Nvidia’s growing dominance as a leader in modern tech and AI solutions.
