Nvidia dethrones Microsoft as most valuable company

Nvidia has overtaken Microsoft and Apple to become the world’s most valuable public company. The computer chip maker — at the heart of the artificial intelligence boom — now has an overall market valuation of $3.34 trillion, roughly N$ 60 trillion, with the price having nearly doubled since the start of this year. Benji Hyer reports.

CNBC further reports that Nvidia shares are up more than 170% so far this year and went a leg higher after the company reported first-quarter earnings in May. The stock has multiplied by more than ninefold since the end of 2022, a rise that’s coincided with the emergence of generative artificial intelligence.

Apple shares fell 1.1% on Tuesday, giving the iPhone maker a $3.29 trillion market value.

Nvidia has about 80% of the market for AI chips used in data centers, a business that’s ballooned as OpenAI, Microsoft, Alphabet, Amazon, Meta, and others have raced to snap up the processors needed to build AI models and run increasingly large workloads.

For the most recent quarter, revenue in Nvidia’s data center business rose 427% from a year earlier to $22.6 billion, accounting for about 86% of the chipmaker’s total sales.