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AI mania pushes Nvidia to record $4 trillion valuation


AI craze makes Nvidia the most valuable publicly traded company in history.

The company's data center GPUs excel at performing billions of matrix multiplications necessary to train and run neural networks due to their parallel architecture—hardware architectures that originated as video game graphics accelerators now power the generative AI boom. In April, Trump's"Liberation Day" tariff announcement caused Nvidia's shares to dive even more dramatically, but the company's valuation has gained more than 15 percent over the past month despite these episodes. Some analysts point to the massive capital expenditures by tech giants on AI infrastructure—with companies like Microsoft, Google, and Meta each spending tens of billions annually on data centers—and question whether the returns will justify the investment.

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