The news: Nvidia has once more overtaken Apple to become the most valuable company in the world on the strength of AI demand across industries. Its market capitalization rose to $3.43 trillion Tuesday, surpassing Apple’s $3.38 trillion value.
The sky’s the limit: Rising investments in AI infrastructure expansion from AI-centric Big Tech companies like Meta, Microsoft, Amazon, and Google are boosting demand for Nvidia’s graphics processing units (GPUs) which power AI data centers and workflows.
- Unlike other companies quickly pivoting to AI and generative AI (genAI) products, Nvidia simply needs to meet or exceed market demand for its GPUs to continue yielding massive profits as it benefits directly from the success of its Big Tech clients.