Rise of the World’s Largest Chipmaker

The period from COVID-19 till the GenAI boom has been particularly remarkable for the world’s largest chipmaker NVIDIA. The company’s market cap surged dramatically from 2020 onwards driven by its pivotal role in Crypto mining, in AI and data centres. Initially known for its dominance in gaming GPUs, NVIDIA’s real breakthrough came as its chips became essential for AI and machine learning workloads. The rise of generative AI and deep learning applications created skyrocketing demand for high-performance GPUs, which NVIDIA excelled at producing.In 2020, the company’s $6.9 billion acquisition of Mellanox boosted its data centre capabilities, positioning NVIDIA at the forefront of cloud computing and AI infrastructure. The global shift toward AI in industries ranging from healthcare to finance accelerated this trend. The demand for AI models that required immense computational power pushed NVIDIA’s revenue and stock price upward thus growing its market capitalisation to over $2.65 trillion dollars from 2000–2024.NVIDIA’s market cap has surpassed tech giants like Apple and Microsoft, especially as it became synonymous with the AI boom. Its GPUs, essential for training large AI models, became the backbone of emerging technologies, solidifying its place as the world’s most valuable company.

Rise of the World’s Largest Chipmaker

Related Stories