As Nvidia slips, Microsoft reclaims its position as the most valued company

Microsoft now has the title of being the most valuable corporation in the world, as Nvidia’s share price dropped by more than 3.5% on Thursday.

The company that makes chips for artificial intelligence (AI) momentarily topped the list on Tuesday; its stock market valuation is $3.34 trillion (£2.64 trillion).

However, Nvidia’s stock dropped to $130.78 on Thursday, bringing its market worth down to around $3.22 trillion. Microsoft then regained the lead, maintaining a valuation of more than $3.3 trillion.

Because it dominates what some refer to as the «new gold or oil in the tech sector»—the processors that drive artificial intelligence—Nvidia’s ascent has been aided.

With respective values of over $3 trillion, Nvidia, Microsoft, and Apple are in a three-way competition to become the most valuable corporation globally.

Even though Nvidia only held the top rank for a short while, some analysts believe there will still be intense rivalry amongst the three major companies.

The rising demand for processors that run and train generative AI models, like OpenAI’s ChatGPT, has caused Nvidia’s stock to soar.

Its ascent has coincided with the increasing prominence of its leader, Jensen Huang, who has gained notoriety partly due to his fan base treating him like a rock star in his home Taiwan.