Lokesh Choudhary · · 2 min readNvidia beats Apple in market value on the back of chip demand
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Driven by soaring demand for its AI chips, Nvidia has overtaken Apple to become the world’s second most valuable company. The chipmaker’s share price surged to a record high on June 5, pushing its market capitalization to above US$3 trillion.
Apple, with a market value of just under US$3 trillion, now trails Nvidia as the tech giant grapples with declining iPhone sales and increased competition in the Chinese smartphone market. Apple had been the world’s most valuable company as recently as January, when Microsoft surpassed it for the first time since 2021.
The latest shift underscores investor optimism in the AI sector. Here, Nvidia’s advanced processors are in high demand as they power the latest AI applications for tech giants like Microsoft, Meta, and Alphabet.
This surge in Nvidia’s valuation comes ahead of a planned ten-for-one stock split on June 7, a move aimed at attracting more individual investors. The company’s shares have already soared 147% in 2024, reflecting strong investor confidence in its future growth prospects.
See also: Exclusive insights from Tony Fadell on ChatGPT and the AI gold rush
Editing by Putra Muskita and Dhania Putri Sarahtika
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