Nvidia has surpassed Microsoft to become the world’s most valuable public company. This meteoric rise is driven by the boom in artificial intelligence.
The technology industry is undergoing rapid transformation, with companies constantly seeking to push the boundaries of innovation. These last years, artificial intelligence emerged as a dominant force driven by OpenAI with ChatGPT gaining attention and investments of tech giants.
Nvidia, once primarily recognized for its graphics cards for video games, such as the GeForce RTX 4080 and its evolution, the GeForce RTX 4080 SUPER, is now at the top of the stock market. With a steady rise in its shares, the company has reached a market capitalization of $3.34 trillion, surpassing Microsoft and Apple. This surge is largely attributed to the growing demand for AI chips, which are essential for data centers.
Nvidia recorded more than 21 billion euros in revenue in the first quarter of 2024
Founded in 1991, Nvidia initially targeted the video game hardware market before diversifying into sectors like cryptocurrency mining and cloud gaming subscriptions. Since the start of the year, it has experienced a dramatic increase of its shares, with growth of more than 180% at present, it is twice as much as Bitcoin ! The company reported revenues of $22.6 billion – or around €21 billion – for its latest quarter, ae increase of 427% compared to the previous year, thanks to the sale of AI chips like the A100 and H100 models. These results show us to what extent these specific maps are used in varied domains ranging from OpenAI language models with ChatGPT, to Microsoft cloud services.
In response to this growth, the company recently announced a split of its shares 10 for 1. This process means that they are divided into 10 in order to make them cheaper and more accessible to small investors. It also increases Nvidia’s chances of being added to the U.S. Dow Jones Index, a stock index that includes 30 of the largest public companies in the United States. Indeed, the latter favors moderately priced stocks for a more balanced impact.