Nvidia’s Rs 284.69 Trillion Valuation Overtakes Apple, Approaching India’s Economic Size!

Nvidia's Stock Surge Reflects Rising Demand for AI Chips Across Industries

Nvidia has overtaken Apple to claim the title of the world’s most valuable company, with a market capitalization of $3.43 trillion. On November 5, Nvidia’s stock price climbed 2.9 per cent, surpassing Apple’s $3.38 trillion valuation. This marks a significant milestone for Nvidia, whose stock has surged over 850% since late 2022, driven by the explosive growth of AI technology.

AI Growth Powers Nvidia’s Market Surge

The surge in Nvidia’s stock value can be largely attributed to its dominant position as the leading provider of GPUs for AI applications. As AI technologies gain traction, Nvidia's GPUs have become essential in powering large-scale data models, like ChatGPT, and driving the demand for cloud computing services. The company’s revenue has skyrocketed, doubling for five consecutive quarters.

Nvidia's Dominance in the AI Sector

Nvidia’s market capitalization crossed the $3 trillion mark earlier this year, briefly surpassing Apple. While Apple, which remains a leader in consumer electronics, is gradually moving into AI with features like Apple Intelligence, it lags behind Nvidia in AI hardware. Analysts predict Nvidia’s revenue will double this year and increase by 44% next year, with strong expectations for its upcoming product launches, including the Blackwell series of chips.

Apple and Microsoft's AI Race

Although Apple has made strides in AI, especially in the consumer space, it faces challenges in chip supply and AI infrastructure compared to Nvidia and Microsoft. Microsoft, with a market cap of $3.06 trillion, remains a strong AI and cloud player, but Nvidia’s AI-focused hardware has solidified its position as the leading tech company in this rapidly evolving field. Nvidia’s rise reflects the growing importance of AI and its transformative impact on the global tech industry.