Nvidia poised to be first US chipmaker worth $1tn+

Nvidia Set to Join Trillion-Dollar Club

(Reuters) – Nvidia Corp is on track to become the first U.S. chipmaker to reach a market capitalization of $1 trillion.

The company’s shares were up 3.5% at $402.91 in premarket trading, and with AI taking center stage, Nvidia’s revenue forecast has surpassed analysts’ expectations by more than 50%. Wall Street analysts have called Nvidia’s forecast “unfathomable” and “cosmological”, with the highest price target valuing the company at about $1.6 trillion, on par with Google-parent Alphabet.

Nvidia’s shares rose about 25% last week, sparking a rally in AI-related stocks and boosting other chipmakers, helping the Philadelphia SE Semiconductor index close on Friday at its highest in over a year.

Other Trillion-Dollar Companies

• Meta (valued at about $670 billion)
• Apple Inc
• Alphabet Inc
• Microsoft Corp
• Amazon.com Inc

OpenAI-owned ChatGPT’s rapid success has prompted tech giants such as Alphabet and Microsoft to make the most of generative AI, which can engage in human-like conversation and craft everything from jokes to poetry.

European Commission President Ursula von der Leyen will meet the chief executive of OpenAI, Sam Altman, on Thursday, and India will start a pilot project this week to establish itself as an electronics repair hub.

Overall, Nvidia’s success is a testament to the growing importance of AI and the role it plays in shaping the future of technology.