Nvidia Becomes Most Valuable Company in the World, Microsoft on Second Position

Nvidia, which is involved in the technology business, has achieved the feat of becoming the world’s most valued company. It has surpassed Microsoft, one of the biggest software companies. Nvidia has benefited from the rapid growth of the Artificial Intelligence (AI) segment.

Chip maker Nvidia The share of Microsoft rose by around 3.5 percent to reach $135.58. This increased the market capitalization of the company to around $3.33 trillion. Recently Nvidia defeated iPhone maker Apple in market capitalization. There was a fall of around 0.45 percent in the share of Microsoft. This reduced the market value of the company to $3.31 trillion. Apple’s share fell by more than one percent. This reduced the market capitalization of the company to around $3.28 trillion.

The sharp rise in Nvidia’s stock has increased enthusiasm for AI on Wall Street. This has led to the S&P 500 and Nasdaq reaching record highs. Along with this, it has also become the most traded company on Wall Street. Recently its average turnover per day was around $50 billion. For Apple, Microsoft and Tesla this figure is around $10 billion. Nvidia’s share in all trading in S&P 500 companies has increased to around 16 percent. This year the company’s stock has increased almost three times. In comparison, Microsoft’s stock has increased by around 19 percent.

Microsoft bought Activision Blizzard for around $69 billion to strengthen its position in the video gaming market. Japanese consumer electronics company Sony holds the first position in this market. Recently, there were layoffs in the team associated with Microsoft’s cloud software and service rental business. In the last few months, Microsoft has reduced its investment in the mixed reality related unit. However, the company has said that it is committed to HoloLens. Earlier this year, Microsoft’s market capitalization exceeded Apple for the first time in two years. Microsoft’s share price rose after taking a big step in generative artificial intelligence by investing in ChatGPT maker OpenAI.

(This news has not been edited by the NDTV team. It has been published directly from the Syndicate feed.)