Nvidia Dethrones Apple: AI Chip Demand Fuels Record Stock Surge

Nvidia surpassed Apple as the world's most valuable company due to high demand for its AI chips. The tech giant briefly touched a valuation of $3.53 trillion, overtaking Apple and Microsoft. Nvidia's stock is bolstered by the increased adoption of AI technology in various industries.

Nvidia has emerged as the world's most valuable company, surpassing Apple, driven by unprecedented demand for its AI chips. Nvidia's valuation briefly reached $3.53 trillion, outpacing Apple's $3.52 trillion, according to LSEG data. This event marks a critical milestone in the fierce competition among technology giants like Microsoft and Apple.

The tech company's stock has soared approximately 18% in October, buoyed by OpenAI's significant funding round. Nvidia's chips are fundamental in training models such as OpenAI's GPT-4, and the ongoing demand for AI chips continues to propel its market position. As more companies integrate AI into their operations, Nvidia benefits from a powerful market trend.

Looking ahead, Nvidia's third-quarter results in November will serve as a significant indicator of its future performance. Analysts, including Morgan Stanley's Joseph Moore, remain optimistic about Nvidia's trajectory, though recent rallies may set high expectations. The company continues to influence the technology sector significantly, alongside Apple and Microsoft.

(With inputs from agencies.)