Nvidia eclipses Microsoft as world's most valuable company

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Nvidia became the world's most valuable company on Tuesday, dethroning tech heavyweight Microsoft as its high-end processors play a central role in a race to dominate a surge in artificial intelligence technology.Shares of the chipmaker climbed 3.5% to $135.60, lifting its market capitalization to $3.336 trillion, just days after overtaking iPhone maker Apple to become the second most valuable company.Microsoft's stock market value was $3.325 trillion as its shares dipped 0.2%.

Since its blowout forecast about a year ago, the company has consistently breezed past Wall Street's lofty expectations for revenue and profit, with demand for its graphics processors far outstripping supply as companies rush to embed AI applications.Nvidia executives said in May that demand for its Blackwell AI chips could exceed supply "well into next year.

 

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