Nvidia became the first company with a capitalization of $4 trillion
By ForGeeks
Nvidia’s stock price rose more than 2% on Wednesday, bringing the company’s market capitalization above $4 trillion for the first time, an all-time record: no publicly traded company in history has ever reached that mark.
Nvidia’s stock price rose more than 2% on Wednesday, bringing the company’s market capitalization above $4 trillion for the first time.
Nvidia beats Microsoft and Apple
Nvidia has become the world’s most valuable company, surpassing Microsoft and Apple in terms of capitalization. Both corporations had previously surpassed the $3 trillion mark, but Nvidia was the first to reach $4 trillion, while Microsoft remains one of Nvidia’s largest customers and is actively using its artificial intelligence solutions.
The company was founded in California in 1993. It crossed the $2 trillion threshold in February 2024 and $3 trillion in June.
The rapid growth comes amid a surge in demand for generative AI hardware following the release of ChatGPT in late 2022.
Leader in artificial intelligence chips
Nvidia’s main growth driver is the production of graphics processing units (GPUs) used in training large language models. Demand for such solutions continues to grow, which has led to a more than five-fold increase in share price over the past five years.
The company’s growth has been fueled by a strong demand for GPUs, which are used to train large language models.
Nvidia securities have added 22% since the start of 2025, and more than 15% in the last month alone.
Losses from export restrictions to China
Despite its record capitalization, the company faces serious challenges. In May 2025, Nvidia CEO Jensen Huang said that the recent export ban on H20 chips designed specifically for the Chinese market would result in an $8 billion loss of revenue.
The company’s recent export ban on H20 chips designed specifically for the Chinese market will result in an $8 billion loss of revenue.
“China’s $50 billion market is effectively closed to U.S. industry,” Huang said during the reporting call.
He previously noted in an interview with CNBC that not being able to ship to China would be a “huge loss” for Nvidia.
The story Nvidia becomes the first company to be capitalized at $4 trillion was first published on ITZine.ru.
