NEW YORK — Nvidia has made history as the first publicly traded company to reach a $4 trillion market value, driven by its soaring dominance in the global artificial intelligence sector.
The chipmaker’s stock rose by 2.76% early Wednesday, briefly pushing its market capitalization above the $4 trillion mark. It later closed the day up 1.8%, just under the milestone.
Nvidia outpaced both Apple and Microsoft in the race to $4 trillion. Apple, which entered 2025 as the most valuable company at $3.9 trillion, has declined in recent months amid economic friction tied to new U.S. tariffs. Microsoft remained in close competition but trailed slightly behind with a valuation of $3.77 trillion.
Nvidia’s remarkable rise is fueled by its central role in powering AI systems. Its chips are now the backbone of data centers operated by Microsoft, Amazon, and Google. The demand for advanced computing infrastructure has driven its stock to surge nearly 21% this year alone.
According to market research by the International Data Corporation, global spending on AI infrastructure is expected to exceed $200 billion by 2028.
In its most recent financial report, Nvidia posted $44.1 billion in revenue for the quarter ending April up 69% compared to the same period last year.
“There is one company at the heart of the AI revolution, and that’s Nvidia,” an analyst noted in a June 27 report, describing the firm as the foundation of the global tech shift.
Nvidia was initially best known for its graphics cards popular among PC gamers. But its transition into AI has redefined its role in the tech industry.
At its developer conference in March, Nvidia announced a powerful update to its Blackwell chip line Blackwell Ultra designed to support AI models with more advanced reasoning abilities, paving the way for AI-powered robots and vehicles.
The company first crossed the $1 trillion mark in May 2023, then $2 trillion in early 2024. It hit $3 trillion just weeks ago before Wednesday’s brief touch of $4 trillion.
Co-founder and CEO Jensen Huang has become one of the most influential figures in tech. Bloomberg’s Billionaires Index ranks him as the tenth richest person in the world, with a net worth of $140 billion.
Huang’s profile has grown beyond Silicon Valley. He was part of President Trump’s business delegation to Saudi Arabia in May and remains a key player in Project Stargate a $500 billion AI infrastructure effort launched in January.
Despite its growth, Nvidia has faced challenges. In early 2025, Chinese startup DeepSeek introduced a low-cost AI model that briefly rattled markets. Nvidia’s shares fell 37% between January and April amid concerns over competition and ongoing U.S.-China trade tensions.
Nvidia also reported a $2.5 billion revenue loss in Q1 due to U.S. export restrictions on its H20 AI chips bound for China.
Yet the stock has recovered strongly rising nearly 74% since April.
During Nvidia’s earnings call in May, Huang said AI will soon become essential in all industries.
“AI is going to reshape every sector software, health care, finance, manufacturing, and more,” he stated. “We’re still in the early stages.”
Analysts see more room for growth. A June research note from Loop Capital projected that Nvidia could reach a $6 trillion market value by 2028.
“Nvidia remains a near-monopoly in a critical space for AI advancement,” analysts wrote. “This isn’t a peak it’s a starting point.”
Nvidia’s ascent marks a defining moment in the global tech economy, signaling that artificial intelligence is no longer a trend it’s the core of the world’s next industrial wave.
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