NVIDIA surpasses Microsoft, Apple to become most valuable company in the world

Nvidia has become the top company in the world in terms of market valuation. The chipset maker overtook Microsoft to achieve a valuation of $3.348 trillion at the time of writing this article. NVIDIA made the jump of two places pushing down both Microsoft and Apple. Nvidia's advanced chipsets are crucial in the race for artificial intelligence (AI) market dominance.

The company achieved a growth of 3.92 per cent and the stock is hovering around $136. This achievement comes shortly after Nvidia overtook Apple, the previous second-place holder.

The company's stock has soared by about 173 per cent this year, starkly contrasting with Microsoft's 19 per cent increase. The high demand for Nvidia's top-tier processors, which are essential for AI development, has outpaced the available supply, driving the stock's significant rise.

In just five months, its market capitalization jumped from $1.21 trillion on January 6, 2024, to its current value of $3.326 trillion.

Generative AI is becoming a huge part of the tech world, and Nvidia is leading the charge. Major cloud service providers rely on Nvidia's GPUs to train and run AI applications. The company’s clients include around 20,000 start-ups, along with big names like Microsoft, Alphabet, and Amazon. For anyone looking for top-notch AI chips, Nvidia is the go-to choice.

NVIDIA growth engines

Nvidia has introduced two new platforms that could revolutionize computing:

Blackwell Platform: The Blackwell platform aims to make real-time generative AI possible on trillion-parameter large language models. It promises to reduce cost and energy use by up to 25 times compared to the previous platform.

Rubin Platform: Recently, Nvidia CEO Jensen Huang introduced the Rubin platform at Computex 2024 in Taiwan. Rubin includes new GPUs and a central processor called 'Vera.' It is expected to be available to customers later in 2024.

Other revenue makers

Nvidia's data center revenue, which includes AI-related products and services, has now surpassed its video game revenue. This highlights the growing importance of AI to Nvidia's business. The company is also moving into new fields like deep learning and autonomous vehicles. This expansion is expected to help the company grow even bigger.