NVIDIA overtakes Microsoft to become the most valuable company in the world

On Tuesday, June 18, NVIDIA shares rose by 3.6%, bringing the chipmaker’s capitalization to $3.34 trillion. This again made the company the most expensive in the world, ahead of Microsoft and Apple. This was reported by CNBC.

This year alone, the company’s shares have risen by 170%. The 24% increase came after the financial report published in May, which saw NVIDIA surpass Apple’s capitalization.

Such successes are due to AI chips. Currently, the company covers about 80% of the data center chip market, which has grown significantly since OpenAI, Microsoft, Meta, and other companies started investing in AI.

In the last quarter, the company’s data center revenue grew by 427% year-on-year to $22.6 billion. This accounts for about 86% of the chipmaker’s total sales.

Among other things, a recent study shows that the company also has 88% of the video card market. Out of the 8.7 million graphics cards shipped in the first quarter of 2024, NVIDIA is responsible for 7.66 million.