Nvidia's Role in AI Boom and Soaring Shares - Capital Street FX
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WHAT IS NVIDIA’S ROLE IN THE AI BOOM AND WHY ARE NVIDIA’S SHARES SOARING? In the wake of the artificial intelligence (AI) boom, chip designer Nvidia finished Tuesday with a market value of $1 trillion, marking the first time in recent memory. Here is a description of Nvidia and how it supports the revolutionary new technology. HOW MUCH MARKET VALUE DOES NVIDIA HAVE? Nvidia's $1 trillion valuation puts it behind Apple, Microsoft, Alphabet, and Amazon as the fifth most valuable U.S. firm. Two further businesses, Tesla and Meta Platforms, have previously exceeded the $1 trillion mark but are currently valued less. NVIDIA’S FOCUS SHIFT: FROM GAMING TO AI Nvidia, a company best known for its videogame chips, has recently shifted its focus to the data center industry. During the epidemic, the company’s business dramatically increased. As gaming became more popular, cloud adoption increased and crypto fans began using its CPUs for coin mining. In the fiscal year that concluded on Januar