NVIDIA’s Value Crosses $2 Trillion Thanks To Dell’s AI Servers

(CTN News) – Following a positive report from Dell Technologies, Nvidia’s stock market value reached $2 trillion for the first time on Friday.

Dell’s optimistic forecast, which highlights a significant increase in orders for its AI-optimized servers based on Nvidia processors, led to a 4% increase in shares. Nvidia’s performance was buoyed significantly by the confidence instilled by Dell’s outlook.

During the same period, Dell’s shares experienced an extraordinary rise, rising as much as 38% to reach a record high before closing with an astonishing 32% gain.

Following Nvidia’s market capitalization reaching $2.06 trillion on Friday, the company became the world’s third most valuable company. The chipmaker is now ranked third in the world, behind Microsoft with a market capitalization of $3.09 trillion and Apple with a market capitalization of $2.77 trillion.

Super Micro Computer, another company that sells servers containing chips, saw a favorable gain of 4.5% over the same period.

As a result of the AI surge, other chipmakers have also experienced record profits. Among these companies are Broadcom and Marvell Technology, which have both gained approximately 8%. In addition, Advanced Micro Devices (AMD),

One of Nvidia’s biggest competitors, reported a 5% rise in sales.

In keeping with this bullish trend, the Philadelphia chip index rose by 4.3% and reached its own record high, contributing to the overall gain of 18% for the year 2024.

It is anticipated that Nvidia will remain far ahead of its competition for the foreseeable future. Currently occupying approximately 80% of the high-end AI chip market, Nvidia boasts a prestigious clientele that includes companies such as OpenAI, which developed ChatGPT, and tech giants Microsoft, Alphabet, and Meta Platforms.

Several industry leaders have actively acquired components to enhance their competitive positions in the rapidly evolving field of generative artificial intelligence.

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