On July 9, 2025, Nvidia made history as the first company to reach a $4tn market value, a Nvidia $4T Milestone that underscores its central role in tech that powers artificial intelligence. The surge reflects massive demand for GPUs that fuel generative AI models like ChatGPT, driving confidence in what many call the AI Revolution.
Under CEO Jensen Huang—often dubbed the “Taylor Swift of tech”—Nvidia has surged from a $1tn valuation June 2023 to dominance. With $44.1 bn revenue last quarter, reflecting 69% year‑over‑year growth and 81 cents a share profit, Nvidia now leads an era where chips are truly the new gold and oil.
Nvidia Hits Unprecedented $4T Market Valuation
Nvidia shattered expectations by becoming the first public company to hit a $4tn market value on July 9, 2025, as investors bet heavily on tech that powers artificial intelligence. This milestone marks a rapid ascent from its $1tn valuation June 2023 value, underscoring its leadership in AI infrastructure and GPU innovation.
Driving this achievement is massive demand for Nvidia chips in data centers that support AI workloads. These “new gold and oil” chips, as analyst Dan Ives called them, signal a profound shift in global technology investment.
Stock Reaction: Shares Jump Amid AI Demand
On that milestone day, Nvidia shares surged nearly 2.8%, peaking at $164 before closing solidly higher. That rally reflected excitement around generative AI models like ChatGPT, which rely on Nvidia’s GPU accelerators for heavy-duty processing in cloud environments.
The boost came even as macro concerns loomed. Investors shrugged off volatility tied to the Trump tariff war, focusing instead on expanding AI-driven revenue.
AI Surge: Chips Become “New Gold and Oil”
Wall Street buzzed as Nvidia cemented its role in the AI Revolution. Dan Ives described its chips as akin to ”new gold and oil”, emphasizing their critical role as digital infrastructure . Nvidia’s GPUs now power not only graphic rendering, but also generative AI, machine learning, and scientific computing.
As investor sentiment shifts, Nvidia stands as the bedrock of this technological transformation. Its chips underpin large language models and AI-driven apps used across sectors from healthcare to finance.
Revenue Growth: From $1T to $4T Soaring
Nvidia’s explosive path from a $1tn valuation June 2023 to a $4 trillion powerhouse reflects deepening performance. The company posted $44.1 bn revenue in its latest quarter, achieving 69% year-over-year growth, and delivered 81 cents a share profit.
That growth stems primarily from data center demand, which surged and now comprises the lion’s share of earnings. This momentum shows no sign of slowing as AI contracts spin up globally.
Dan Ives Weighs In: Historic Moment Explained
Industry watcher Dan Ives called this a “historic moment” and praised Nvidia as “the foundation for the AI Revolution” . His insights affirm Nvidia’s central role in the next-gen computing wave.
Ives and others view Nvidia as indispensable. They note that investors now value Nvidia not only as a component supplier but as the backbone of global AI infrastructure.
Tariff Turbulence: How Trade Wars Affected Nvidia
Despite struggles during the Trump tariff war, which rocked markets in April, Nvidia rebounded swiftly. The company overcame tariff threats targeting tech exports and surged to its $4T valuation.
That resilience shows Nvidia’s business strength. Even as global politics shift, demand for its AI chips remains robust, driven by long-term structural growth.
Competition Shift: Nvidia Overtakes Apple and Microsoft
Nvidia overtook longstanding giants like Apple and Microsoft to claim the top valuation spot . Microsoft now sits at around $3.7 trillion, while Apple trails with about $3.15 trillion.
This shift signals tech’s evolution: formerly dominant mobile and software play, now reshaped by AI hardware leaders.
Generative AI Boom Fuels Nvidia’s Momentum
Demand for generative AI models continues to power Nvidia’s ascent, especially as companies like OpenAI, Microsoft, and Google invest heavily in data-center GPUs . Nvidia’s processors are crucial for accessing advanced AI applications, including ChatGPT, which require massive computational resources.
Institutions across industries are pouring funds into AI training clusters. Nvidia stands at the center of this wave.
CEO Jensen Huang: From Graphics to AI Icon
Under Jensen Huang’s leadership, Nvidia evolved from a gaming-GPU firm to a global AI powerhouse. His visionary approach earned him the nickname “Taylor Swift of tech,” noted by Mark Zuckerberg—highlighting his cultural influence .
Huang’s ability to foresee AI’s rise paid off dramatically. His net worth and public profile reflect Nvidia’s success.
Risks Ahead: DeepSeek Rivalry and China Limits
Despite dominance, Nvidia faces threats from rivals like DeepSeek, whose discount models shook investor confidence earlier this year. The company also suffers export restrictions to China, costing approximately $8 bn in H20 chip sales.
Such challenges could slow its growth, yet Nvidia appears positioned to manage terrain shifts.
Looking Forward: Can Nvidia Reach $5T Next?
Analysts at Loop Capital and Barclays forecast Nvidia could hit $5tn to $6 trillion by 2028 . But history warns: many rapid gains can spark sharp corrections as seen in previous market cycles.
Forecasting Nvidia’s next steps requires watching AI adoption trends, earnings growth, and geopolitical factors closely.
Final Takeaway: Nvidia’s AI Legacy and Future Potential
Nvidia’s leap to a $4tn market value highlights its transformative role in powering today’s AI-driven future. With visionary leadership, massive $44.1 bn revenue, and global AI demand surging, it remains a cornerstone of innovation. The journey toward $5tn will test its resilience amid competition and policy shifts.
Frequently Asked Questions(FAQs)
What does NVIDIA do exactly?
NVIDIA designs and sells GPUs, AI accelerators, and software powering graphics, data center computing, and autonomous systems.
What does NVIDIA stand for?
The name “NVIDIA” comes from Latin invidia (meaning envy), blended with “NV” for “next vision”.
What does NVIDIA software do?
NVIDIA software like CUDA and AI platforms enable parallel computing, GPU-accelerated apps, simulations, and deep learning.
Is NVIDIA an Indian company?
No, NVIDIA is an American company founded and based in Santa Clara, California.
What does NVDA software do?
The NVDA screen reader software reads text aloud for visually impaired users on Windows (unrelated to NVIDIA).