Nvidia becomes world’s most valuable company after surpassing Microsoft

Chip Maker Nvidia’s share price rallied over 3.5% on 18th June, 2024, making it the world’s most valuable company, surpassing Microsoft.

Within a period of nine months, Nvidia’s market value expanded from $1 trillion to $2 trillion in February, while taking just over a period of three months to hit $3 trillion in the month of June.

The rally in shares of Nvidia and a stunning surge in its market value has been driven by optimism regarding the rising Artificial Intelligence (AI) technology.

About 80% of the market for AI chips which are required in data centers to run AI models like OpenAI’s ChatGPT is held by Nvidia.

Nvidia’s stock has surged 591,078 percent since the company’s IPO was launched in 1999.