The chipmaker’s market cap also reached a staggering US$3.4 trillion, driven by massive demand for its AI chips.
Key tech giants like Microsoft, Meta, Google, and Amazon have been purchasing Nvidia’s GPUs in large volumes to power their AI infrastructure, contributing to Nvidia’s dominance in the AI chip market, where it holds a 95% share for AI training and inference chips.
Nvidia’s meteoric rise is largely attributed to the growing generative AI boom, fueled by the release of OpenAI’s ChatGPT in late 2022.
The company’s Blackwell next-generation AI GPUs have seen “insane” demand, with expectations for billions in revenue by the fourth quarter.
Nvidia’s stock has nearly tripled in value this year, making it the second-most valuable US company, only behind Apple.
As companies continue to invest heavily in AI infrastructure, Nvidia remains poised for further growth, though analysts anticipate a more moderate revenue increase of 82% for the quarter ending in October.
