Nvidia became the first semiconductor company to exceed a $3 trillion market capitalization in 2024.
Nvidia passed the $3 trillion level on June 5, 2024, as demand for its graphics-processing units and artificial-intelligence infrastructure drove a sharp rise in its share price. The company’s chips are widely used to train and run large AI models.
Nvidia began as a graphics-chip designer for personal computers and video games. Its CUDA software platform helped make its hardware useful for general-purpose parallel computing, including machine learning.
The milestone came shortly after Nvidia completed a ten-for-one stock split. A split reduces the price of each individual share while increasing the number of shares, so it does not by itself create economic value. What changed Nvidia’s valuation was investors’ assessment of its future earnings and dominant position in accelerated computing.