Amazon has regained the lead for now, but Nvidia could take the lead again.
On February 12, Nvidia’s capitalization reached $1.78 trillion, Bloomberg noted. This allowed Nvidia to surpass Amazon, which owns the online store of the same name and a host of other services, in market value.
This is the first time Nvidia has been able to catch up with Amazon in terms of capitalization. By the close of trading, the publication notes, Amazon was able to regain its leadership: the company’s capitalization was fixed at $1.79 trillion.
However, there is a possibility that Nvidia will soon take the lead again. Since the beginning of 2023, the company’s share price has been growing almost continuously, with Nvidia becoming one of the main beneficiaries of the growing interest in artificial intelligence.
The company produces accelerators used by major market players, including Amazon itself. Since the beginning of 2020, Nvidia’s capitalization has increased several times – then it did not even reach $500 million.
Currently, AI accelerators generate the bulk of Nvidia’s revenue. The company allegedly intends to diversify its business and start producing custom chips to order.
This is interesting