Nvidia reached a record valuation of $2 trillion, cementing its popularity as one in all the biggest firms on the earth.

In May last yr, Nvidia has the worth has reached the $1 trillion mark due to the rapid rise of generative AI.

However, Nvidia didn’t just reply to this demand – the corporate had been investing in AI hardware research and development because the early 2010s and before.

The company’s foresight and investments are paying off as its value surpasses each Alphabet and Amazon.

Nvidia’s forecast-shattering earnings reports fueled that upward trend, with sales greater than doubling to surpass $60 billion thus far in 2024. Nvidia stock has tripled within the last yr to just about $800 per share.

The company’s valuation skyrocketed by $277 billion in a single day after the earnings announcement, marking the biggest one-day gain in Wall Street history.

Nvidia CEO Jensen Huang told investors that global demand for his or her chips is “increasing.”

The AI ​​boom is partly the rationale for the general rally in U.S. tech stocks and is answerable for a handful of billion-dollar startups within the U.S., Europe, the Middle East and China.

The influence of AI is pervasive, starting from automotive design to telecommunications and beyond. When firms across nearly every industry fail to speculate in AI, it can be seen as a failure to maintain pace with probably the most transformative technology of our time.

Derren Nathan from Hargreaves Lansdown noted that the AI ​​boom is definitely “living as much as the hype”.

Commenting on the corporate’s successes, Jensen Huang noted, “Accelerated computing and generative AI have reached the tipping point,” and Hargreaves Lansdown’s Derren Nathan noted that the AI ​​boom is definitely “living as much as the hype.”

However, Nvidia is not resting on its laurels. The company continues to innovate, including with its expected B100 AI chip.

Can the corporate sustain its explosive growth despite increasing competition and changing market conditions? We will see.

This article was originally published at dailyai.com