The Silicon Valley chipmaker briefly surpassed a $4 trillion valuation. Nvidia has enjoyed constant growth over the last two years, as interest in AI-powered technology grows.
Nvidia shares rose to $164.42 shortly after the US stock market started on Wednesday morning.
This momentarily lifted its market value over $4 trillion, surpassing the GDPs of France, the United Kingdom, and India.
The triumph at the Californian semiconductor company has been contributing to the recovery of the broader stock market following a decline in April that was partially caused by the announcement of extensive tariffs by US President Donald Trump.
The escalating trade battle with Trump has caused a global market meltdown. As this interest in AI has grown, Wall Street’s wager on the technology, Nvidia, under the leadership of Taiwan-born Jensen Huang, has steadily increased over the last two years.
Microsoft, Google, Amazon, Meta, and many other large tech companies have also entered the multibillion-dollar AI battle.
According to Interactive Brokers’ Steve Sosnick, “the market has an incredible certainty that AI is the future,” he told the AFP news agency.
“Nvidia is certainly the company most positioned to benefit from that gold rush.”
Early in 2025, China-based DeepSeek emerged as a threat to Nvidia and generative AI platforms like OpenAI.
DeepSeek’s low-cost, high-performance model upended the AI industry.
In a single trading session at the time, Nvidia’s market value dropped by about $600 billion.
Source: DW News
