Nvidia’s market capitalization rose sharply in 2023 as demand for its artificial-intelligence chips surged.
Nvidia designs graphics processing units, or GPUs, that are widely used to train and run large AI models. Its CUDA software platform also helped create an ecosystem around the company’s hardware, making Nvidia especially important to developers and cloud-computing firms.
In 2023, investors responded to rapid growth in AI infrastructure spending and Nvidia’s powerful position in supplying data-center accelerators. The resulting share-price gains made Nvidia one of the world’s largest companies by market capitalization.
Nvidia was originally best known for graphics chips used in personal computers and video games. Its later expansion into data centers, professional visualization, autonomous systems, and AI changed how investors viewed the company’s long-term growth prospects.