Nvidia overtakes Apple to become the world’s most valuable company
New Delhi| Nvidia overtook Apple in terms of market capitalization to become the world’s most valuable publicly traded company for the second time. Nvidia’s stock closed with a market cap of $3.43 trillion, up nearly 3% during Tuesday’s trading session, more than Apple’s $3.4 trillion market cap.
Nvidia shares have risen nearly threefold in 2024, as investors have shown continued confidence in the company’s leadership position in the Artificial Intelligence Market, maintaining a rapid growth rate from the company’s graphics processing unit or GPU. On the other hand, Apple’s shares have risen by about 17% this year. Many analysts say the recent release of Apple Intelligence features for the iPhone could boost sales and put the company in a leadership position in ‘edge AI’, reducing reliance on GPU-based servers. Is.
Nvidia is the leading supplier of GPUs, used to develop advanced AI software such as OpenAI’s ChatGPT. Its stock has so far jumped more than 2,700% over the past five years, and the company’s revenue has more than doubled in each of the last five quarters. Revenue increased three times in three quarters.
Apple was the first company to reach a market cap of $1 trillion and $2 trillion. Nvidia had overtaken Apple in June, but it had fallen behind again during the summer after that.
Founded in the year 1991 to create chips to play 3 D games, Nvidia has made its mark in recent years for a very different reason. Over the past decade, scientists and researchers found that Nvidia’s chip designs are also ideal for AI’s technology. Nvidia has since developed specialized software and more powerful chips for AI’s technology.
Last week Apple reported a 6% increase in revenue for the most recent quarter, but analysts in the current period indicated lower-than-expected growth. Nvidia is scheduled to report the result on Nov. 20. S&P Dow Jones announced last week that Nvidia will join the Dow Industrial Average on Friday, replacing longtime rival Intel.
