Nvidia is already the world’s most valuable company being one of the biggest beneficiaries of the global artificial intelligence boom.
This week, the Santa Clara, California-based chip maker got another windfall.
The Jensen Huang-led technology giant on Monday received approval from the U.S. government to sell some of its AI chips in China, boosting Nvidia’s stock price by 4% to $170.70 a share on Tuesday. Rival Advanced Micro Devices Inc. has received similar assurances from the government.
Nvidia’s valuation has risen dramatically over the last two years since generative artificial intelligence became a mainstream topic. Last week, the 32-year-old company became the first publicly traded firm to reach $4 trillion in market capitalization, beating tech titans including Microsoft and Apple.
Though it’s a largely symbolic moment, the milestone raised the stakes for competition in the AI space, which has attracted enormous amounts of capital from established tech players and start-up investors.