NVIDIA becomes first company in the world to hit a $4 trillion market value

NVIDIA has become the first company in the world to reach a staggering $4 trillion market cap, despite the company's stock valuation being somewhat sluggish at the start of the year.

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The new record was broken on Wednesday when shares of NVIDIA rose as much as 2.5% to an all-time high of $164, which pushed the total market cap for the company briefly over the $4 trillion mark. At the time of writing, NVIDIA is sitting at $3.94 trillion. For those who don't remember, NVIDIA's stock took a $600 billion tumble at the start of the year when Chinese AI company DeepSeek shook the entire AI sector, and by at large, NVIDIA, when it unveiled a new AI model that's performance was on par with Western AI models, but only required a fraction of the processing power.

The emergence of the DeepSeek AI model cast doubt on whether companies looking to expand their AI infrastructure actually needed NVIDIA's AI GPUs for more raw processing power, or would be better off investing in improving the efficiency of their current AI models on the software side. NVIDIA reached a $1 trillion market value for the first time in June 2023, and in just a single year, it managed to triple that valuation, beating the pace of other industry tech juggernauts such as Microsoft and Apple.

For those interested, NVIDIA is the world's most valuable company, followed by Microsoft at $3.75 trillion, Apple at $3.14 trillion, and Amazon at $2.31 trillion.