Nvidia has made history by becoming the world’s most valuable company by market capitalization, surpassing Microsoft on Tuesday. The chipmaker’s shares rose by 3.5% to $135.58 during the day’s trading, bringing its total perceived value to $3.335 trillion. This drastic increase in market capitalization can be attributed to the growing demand for AI and machine-learning technologies, in which Nvidia plays a crucial role by producing essential processors for these products.
Tech giants like Nvidia, Microsoft, Apple, and Google have long dominated the rankings of the most valuable companies in the world. These companies have consistently been at the forefront of technological advancements and have continued to push the boundaries of innovation in various industries. In fact, Nvidia shares make up about 16% of all trading in the 500 largest companies listed in the US, making them the most commonly bought and sold shares on the market.
It is worth noting that just two years ago, in July 2019, a single Nvidia share was valued at less than $4. The stock price has since increased by more than 30 times, making Nvidia shares highly sought after. This growth can be attributed to several factors including increasing demand for AI and machine learning technologies that require high-performance computing power provided by Nvidia’s GPUs (Graphics Processing Units). Additionally, Nvidia has diversified its product portfolio beyond gaming and into other areas such as autonomous vehicles and data centers which has also contributed to its growth.
Nvidia’s success story is a testament to its ability to adapt to changing market demands and continuously innovate within its field. As technology continues to evolve and new industries emerge, it will be interesting to see how Nvidia positions itself within this ever-changing landscape.
Overall, tech giants like Nvidia continue to hold a strong presence at the top of the rankings of most valuable companies in the world due to their ability
