Nvidia made history on Wednesday, becoming the first company in the world to reach a $4 trillion market capitalization. This unprecedented milestone solidifies its position as a dominant force in the global economy and a key player in the artificial intelligence revolution.
While OpenAI and its viral chatbot ChatGPT might be the public face of AI, Wall Street looks to Nvidia as the true barometer of this transformative technology. Nvidia designs and manufactures the advanced graphics processing units (GPUs) that are the backbone of the data centers powering AI models and cloud services. These specialized chips are crucial for the complex calculations required by AI, making NVIDIA an indispensable part of the AI infrastructure boom. Its chips are essential for the enormous computing workloads required to train and run artificial intelligence.
The company’s immense market share in the AI chip sector means its performance directly reflects the scale of investment flowing into AI. According to market research firm The International Data Corporation, spending on AI infrastructure is projected to exceed $200 billion by 2030, with Nvidia positioned to capture a significant portion of this growth.
“The Godfather of AI Jensen and Nvidia hit $4 trillion market cap,” commented Wedbush Securities analyst Dan Ives, an AI bull. “AI Revolution and huge historical moment for US Tech sector.”
The Godfather of AI Jensen and Nvidia hit $4 trillion market cap. AI Revolution and huge historical moment for US Tech sector 🏆🔥🐂🎯
— Dan Ives (@DivesTech) July 9, 2025
Nvidia’s journey to this monumental valuation is remarkable. For years, the company was primarily known and beloved by gamers and online communities for its high-performance GPUs, which provided the processing power for cutting-edge video games. However, its versatile chips proved equally adept at powering not just artificial intelligence, but also robotics and autonomous vehicles. The recent rollout of its flagship AI chip, Blackwell, just months ago, further underscores Nvidia’s aggressive innovation and future potential.
This historic achievement comes despite significant geopolitical challenges. For several months, Nvidia has been banned from selling its most powerful chips to China due to escalating tech tensions between the United States and China. The company reported missing out on $2.5 billion in revenue in the last quarter ending in April because of these export restrictions.
Despite these headwinds, Nvidia’s financial performance has been extraordinary. In the most recent quarter, the company recorded approximately $44.1 billion in revenue, a staggering 69% increase year over year. Its net income soared to an impressive $18.8 billion, up 26% from the previous year.
Nvidia’s market cap trajectory has been nothing short of spectacular:
- March 2000: $5 billion
- 2020: $200 billion
- May 2021: $1 trillion
- June 2024: $3 trillion
- July 9, 2025: $4 trillion
Nvidia market cap milestones:
Jul 2025: $4 trillion
Jun 2024: $3 trillion
Feb 2024: $2 trillion
Jan 2024: $1.5 trillion
May 2023: $1 trillion
Jul 2021: $500 billion
May 2020: $200 billion
Aug 2017: $100 billion
Apr 2016: $20 billion
Jan 2002: $10 billion
Mar 2000: $5 billion— Jon Erlichman (@JonErlichman) July 9, 2025
Nvidia, led by CEO Jensen Huang, surpassed tech giants Apple and Microsoft to claim the $4 trillion title. Apple, which started the year with a market cap of $3.9 trillion, was widely expected to be the first to reach this milestone. However, the ongoing trade disputes, particularly impacting Apple’s China-centric supply chain, along with perceptions that it lags behind in the current AI race, allowed Nvidia to seize the lead. Microsoft, a significant player in AI through its investments in OpenAI and products like Copilot, had been trading the top spot with Nvidia in recent days. But during the current trading session, a 2.5% gain propelled Nvidia decisively above the $4 trillion mark, making it the only company globally at this valuation.
Nvidia’s unprecedented success serves as a powerful testament to the real, tangible potential of artificial intelligence for anyone still doubting its impact. This milestone not only reflects Nvidia’s current dominance but also signals a profound shift in the global economy, driven by the relentless expansion of AI.