21 October 2024

AI chip firm Nvidia valued at $2tn


Nvidia's market value has touched $2tn (£1.58tn), a new milestone in the chipmaker's rapid ascent into the ranks of the world's most valuable companies.

Shares in the Silicon Valley firm rose more than 4% in morning trade on Friday before dropping back a bit.

The gains extended a jump after the company's blockbuster earnings report this week.

The company is benefiting from advances in artificial intelligence (AI), which have powered demand for its chips.

Turnover at the firm more than doubled last year to more than $60bn, and boss Jensen Huang told investors this week that demand was "surging" around the world.

The company, which became worth $1tn less than a year ago, now ranks as the world's fourth most valuable publicly traded company, behind Microsoft, Apple and Saudi Aramco.

After shares retreated from their early Friday highs, the firm's market value ended the day just below $2tn.

Founded in 1993, Nvidia was originally known for making the type of computer chips that process graphics, particularly for computer games.

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