BTN News: Nvidia has recently become the world’s most valuable company. It is now worth a stunning $3.340 trillion on the New York Stock Exchange. This huge amount puts it ahead of big tech names like Microsoft and Apple, which are worth $3.310 trillion and $3.284 trillion, respectively. But what has Nvidia done in the world of artificial intelligence (AI) to deserve such high value?
Nvidia’s success in AI is due to the special processors it makes. These processors are crucial for AI applications. The huge popularity of OpenAI’s ChatGPT and other AI tools has increased the need for Nvidia’s hardware. Under Jensen Huang’s leadership, Nvidia has become the top supplier of AI processors, holding between 70% and 90% of the market. This strong position led to a 400% increase in profits in 2023 compared to the year before.
Nvidia’s processors are key for advanced AI tasks used by tech giants like Google, Microsoft, and OpenAI. These companies, although they compete in AI, see Nvidia as an important partner. Nvidia’s hardware gives the computing power needed for these companies to use AI in their software and applications. For example, Huang himself gave the first AI supercomputer, the DGX H200, to OpenAI executives Sam Altman and Greg Brockman. This supercomputer is the only one with huge memory space, allowing AI systems like ChatGPT to answer user questions faster and more effectively.
The DGX H200 helps OpenAI to build large language models in weeks instead of months, speeding up the development process. This shows how crucial Nvidia is in the AI world.
When Nvidia became the second most valuable company, Huang was in Taipei, Taiwan, showing off the company’s latest advances. He announced the creation of Rubin AI, a new AI system set to launch in 2026. Rubin AI aims to meet the computing needs of small businesses and home users, showing Nvidia’s commitment to making AI available to more people.
An AI system includes both software and hardware, focusing on improving performance, efficiency, and abilities. This involves creating advanced algorithms, designing better neural networks, using special processors like GPUs, and managing large amounts of data efficiently.
Huang’s leadership has been key to Nvidia’s success. In a 2023 survey by Blind, a social network for professionals, Huang received the highest approval rating among tech CEOs, with 96% of Nvidia professionals supporting his performance. Blind conducted this survey anonymously among employees from 104 tech companies.
In Nvidia’s latest financial report, Huang said that the “next industrial revolution has already begun,” driven by AI. He emphasized that companies and countries are partnering with Nvidia to transform traditional data centers into new computing hubs, creating a new product: artificial intelligence.
Huang explained that the growth of Nvidia’s data center business is due to the high demand for generative AI technology, especially on the Hopper platform. This Nvidia technology is made for generative AI, helping both the training and running of advanced AI models.
Nvidia’s leading role in AI, combined with strategic leadership and innovative hardware, has made it a key player in the tech industry. As the demand for AI keeps growing, Nvidia’s influence and market value are likely to increase even more, making it a central part of the AI-driven future.
