Nvidia sees historic stock rise on AI chips success
U.S. chipmaker Nvidia achieved the biggest one-day increase in value of any company in history
What happened?
U.S. chipmaker Nvidia achieved the biggest one-day increase in value of any company in history, as investors clamored to buy into the growing artificial intelligence industry. Thursday's rally made Nvidia worth nearly $2 trillion, behind only Apple and Microsoft.
Who said what?
The world is at an AI "tipping point," said Nvidia chief executive Jensen Huang as he delivered another heady sales forecast. Demand for the microchips that power AI is now "surging worldwide across companies, industries and nations."
The commentary
Nvidia's "journey to become one of the three most-valuable U.S. companies might have started at a Denny's in 1993," but it was turbocharged by its recent dominance of the AI chip market, The Wall Street Journal said. Nvidia's GPU chips, worth tens of thousands of dollars each, "are so valuable" they're delivered "by armored car" to some clients.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
What next?
The rapid surge in technology stock values has "prompted fears of a bubble fueled by AI mania," Britain's Telegraph said. "What bubble?" countered Bloomberg. Nvidia's profits "are rising even more than its shares."
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Peter has worked as a news and culture writer and editor at The Week since the site's launch in 2008. He covers politics, world affairs, religion and cultural currents. His journalism career began as a copy editor at a financial newswire and has included editorial positions at The New York Times Magazine, Facts on File, and Oregon State University.
-
Indonesia eyes the world stage
Under The Radar Joining Brics could give the Southeast Asian nation new leverage on the world stage
By Chas Newkey-Burden, The Week UK Published
-
Can Republicans navigate their narrow House majority?
In the Spotlight This isn't the first time that a party has had no margin for error
By David Faris Published
-
How does Inauguration Day work?
The Explainer Part Constitution, part tradition
By Joel Mathis, The Week US Published
-
US port strike averted with tentative labor deal
Speed Read The strike could have shut down major ports from Texas to Maine
By Peter Weber, The Week US Published
-
What went wrong at Nissan?
In the Spotlight And will a merger with Honda make the difference?
By Joel Mathis, The Week US Published
-
Biden expected to block Japanese bid for US Steel
Speed Read The president is blocking the $14 billion acquisition of U.S. Steel by Japan's Nippon Steel, citing national security concerns
By Peter Weber, The Week US Published
-
Nordstrom family, investor to take retail chain private
Speed Read The business will be acquired by members of the family and El Puerto de Liverpool, a Mexican real estate company
By Peter Weber, The Week US Published
-
Why is China targeting Nvidia? (And why is the AI giant so important?)
Today's Big Question A new front in the 'chip war' with the US
By Joel Mathis, The Week US Published
-
Judges block $25B Kroger-Albertsons merger
Speed Read The proposed merger between the supermarket giants was stalled when judges overseeing two separate cases blocked the deal
By Peter Weber, The Week US Published
-
Rupert Murdoch loses 'Succession' court battle
Speed Read Murdoch wanted to give full control of his empire to son Lachlan, ensuring Fox News' right-wing editorial slant
By Peter Weber, The Week US Published
-
Bitcoin surges above $100k in post-election rally
Speed Read Investors are betting that the incoming Trump administration will embrace crypto
By Peter Weber, The Week US Published