NVIDIA Overtakes Microsoft in Market Cap Race Fueled by AI Boom

Recently, NVIDIA's stock surged over 2%, elevating its market capitalization to $3.13 trillion, surpassing Microsoft's $3.04 trillion and becoming the second-largest company globally. Apple continues to lead with a market cap of $3.37 trillion.

NVIDIA's remarkable market value growth is largely driven by the robust development in the artificial intelligence (AI) sector. The substantial demand for AI chips and strong shipment volumes have significantly boosted NVIDIA's performance and stock price, which has more than doubled since the beginning of the year.

In the past few months, NVIDIA has been in a tight race with Microsoft for the market capitalization ranking. In June of this year, NVIDIA briefly outpaced Microsoft to become the largest company by market value, although it was later overtaken by Apple. Analysts suggest that given the strong trends in AI spending and favorable seasonal factors, NVIDIA's stock price may continue to rise, potentially surpassing both Microsoft and Apple in the long term.

Moreover, NVIDIA's founder and CEO, Jensen Huang, has seen a notable increase in personal wealth due to the rise in the company's stock price. His net worth has reached $109 billion, surpassing Intel's total market value of $96.5 billion, placing him 13th on the global billionaires' list.