Nvidia passed Apple on Tuesday to take the top spot as the world’s largest company with a market cap of $3.43 trillion to Apple’s $3.38 trillion.
At the time of writing, Nvidia had a market cap of 3.584 trillion, higher than Apple’s $3.389 trillion and Microsoft’s $3.102 trillion. Apple and Microsoft are currently in second and third place.
According to Bloomberg, Nvidia’s market share rising above Apple’s shows that AI has become “powerful” on Wall Street. The move also shows that investors expect the AI boom to continue. Nvidia counts major technology companies as its customers, including Meta, Microsoft, and Google.
Related: ‘100% Nvidia’s fault’: CEO Jensen Huang Says Company’s AI Chip With ‘Reverse’ Demand Had a Critical Design Flaw
It is the second time this year that Nvidia has become the world’s most valuable company. The first was on June 18 when Nvidia’s market cap reached $3.34 trillion – although less than a week later, the AI chip maker dropped to third place, behind Microsoft and Apple.
Why Is Nvidia Almost Going Out Of Business?
The milestone of this market cap represents the long way Nvidia has come from its early days.
Nvidia was founded in 1993, and by 1996 it was on the verge of going out of business. The CEO and founder of the company, Jensen Huang, said that there are many chances that the business will survive this time and lay off part of its employees.
The change, and the moment of continued survival of Nvidia, was the Riva 128 graphics chip that the company released in April 1997. The chip put Nvidia back on the “map,” making the company’s money back to R & D, which helped. “established Nvidia as a leader in computer graphics,” according to the IEEE Computer Society.
Nvidia CEO Jensen Huang. Photo by MADS CLAUS RASMUSSEN/Ritzau Scanpix/AFP via Getty Images
Although Nvidia persevered after it all, Huang never forgot the tumultuous time—and he never let his employees forget it either.
He has started many presentations with the words, “Our company is thirty days from going out of business.”
Shares of Nvidia are up more than 200% year to date and more than 2,700% over the past five years.
Related: ‘Everybody Wants To Be First’: Nvidia CEO Says Demand For Its Blackwell AI Chip Is ‘Crazy’
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