Nvidia Hits $4 Trillion Valuation, Test Your Knowledge

Nvidia has reached a record-breaking market capitalization of $4 trillion, becoming the world's largest company. Founded in 1993 as a gaming hardware maker, Nvidia has transformed into the premier AI tech company, dominating the AI chip market with near-monopoly on GPUs for large language models. CEO Jensen Huang has led the company's dramatic transformation, with a tattoo of the Nvidia logo inspired by the stock price hitting $100. The company's $4 trillion valuation is larger than the GDP of France, Brazil, and Canada.

On Wednesday, July 9, 2025, Nvidia Corporation (NASDAQ: NVDA) achieved a historic milestone by becoming the first publicly traded company to surpass a $4 trillion market capitalization. This remarkable feat underscores the company's dominance in the artificial intelligence (AI) chip market and its significant impact on the global tech landscape.

Nvidia, originally founded in 1993 as a gaming hardware maker, has transformed itself into the premier AI technology company. The company's rise to prominence is largely due to its leadership in the generation of AI hardware and chips, particularly graphics processing units (GPUs) that power large language models. The launch of ChatGPT in late 2022 further propelled Nvidia's growth, as demand for AI hardware surged.

The $4 trillion market cap marks a significant milestone for Nvidia, which has seen its stock price increase more than fifteenfold over the last five years. Despite geopolitical tensions and ongoing chip curbs that have hampered sales to China, Nvidia's shares jumped more than 2% on Wednesday, reaching the $4 trillion threshold for the first time [1].

Nvidia's CEO, Jensen Huang, has been instrumental in driving the company's transformation. His vision and leadership have positioned Nvidia as a decisive leader in AI technology. Huang's net worth, estimated at $142 billion, reflects the company's remarkable financial performance and his role in its growth [4].

The surge in demand for Nvidia's chips has been fueled by the AI boom, with companies and industries increasingly adopting AI technologies. Nvidia's revenue eclipsed $130.5 billion in fiscal year 2025, a 114% increase year-over-year [2]. The company's market share of add-in-board GPUs was 92% in the first quarter, underscoring its dominant position in the sector [4].

Nvidia's rapid rise has also attracted the attention of other tech giants, who are investing heavily in AI technologies. Microsoft, Amazon, Google parent Alphabet, and Facebook parent Meta Platforms are collectively budgeting about $325 billion for AI investments this year, with a significant portion likely to flow into Nvidia's coffers [3].

While Nvidia's market cap briefly dipped below $4 trillion after hitting the milestone, the company's stock price remains at an all-time high. The company's earnings report for the most recent quarter offered a rosy picture of its near-term future, with revenue rising 69% year-over-year to $44.1 billion and per-share earnings increasing 27% to $0.76 [4].

Nvidia's $4 trillion valuation is larger than the GDP of France, Brazil, and Canada, highlighting the company's immense influence on the global economy. As AI continues to revolutionize various industries, Nvidia's role as the leading provider of AI hardware is set to remain pivotal.

References:
[1] https://www.cnbc.com/2025/07/09/nvidia-4-trillion.html
[2] https://petapixel.com/2025/07/09/nvidia-rides-the-ai-wave-to-become-the-worlds-first-4-trillion-company/
[3] https://apnews.com/article/nvidia-4-trillion-chipmaker-7947e86a7ee9a994b9f16c3c0779b74f
[4] https://247wallst.com/investing/2025/07/04/nvidias-jensen-huang-net-worth-hits-140-billion/