California-based chip-manufacturer, Nvidia, is now the world’s most valuable company after attaining a market capitalization of US$ 3.34 Trillion on Tuesday.
- The company’s shares soared by 3.6% yesterday, with stock prices closing at US$ 135.58 yesterday.
- Nvidia’s CEO, Jensen Huang, also saw his networth hit US$ 119 billion, placing him at the eleventh richest man in the world according to Forbes.
- Microsoft shares fell by 0.45% on Tuesday’s close, with the tech giant’s market capitalization standing at US$ 3.32 Trillion.
The chip-manufacturer’s stock has been a hot cake since 2022, owing to the rapid adoption of AI-powered technologies. Nvidia attained a market capitalization of US$ 1 trillion last year, and it is unimaginably crazy that it has overtaken well-established tech giant’s like Microsoft and Apple within such a short timeframe.
The tech market is in the heat of competition between different AI models such as OpenAI, ScaleAI, Google’s Alphabet, Meta’s and Elon Musk’s xAI. All of these models are coming up with chatbots whose programs need to be run by chips manufactured by companies like Nvidia.
Nvidia controls 80% of the AI chips market globally. After reporting high revenues in its May report, the company’s shares rose up by more than 170%. The almost miraculous ascent has roused skepticism from NASDAQ analysts – some of whom have warned that the entry of competition in the chips market is likely to pop the bubble that is Nvidia’s stock.
Eyes on Africa
Nvidia has partnered with an African entrepreneurship platform called Pariti to train more than 2,000 developers on deep learning across Africa.
The initiative is set to target tech students from Kenya, South Africa, Nigeria, Egypt, Morocco, Tunisia, and Algeria. It intends to train them on new skills in AI development to prepare them for unfolding opportunities in this tech landscape.
“Africa’s greatest resource is our human capital. This initiative with NVIDIA will create opportunities for Africans here and abroad and further our mission in creating a more prosperous Africa,” said co-founder of Pariti, Yacob Berhane.
