Nvidia surpasses Intel market cap to become the US’ most valuable chipmaker

Nvidia has just become the most valuable US chipmaker, surpassing Intel’s market cap of $248.16 billion by achieving a market cap of over $250 billion. Over the past year, Nvidia’s share price has increased by over 70%, while Intel’s share price has decreased by around 2%, highlighting Intel’s relative weakness in today’s market place. 

At this time, it is hard to tell if Nvidia will stay at the top for long, but if recent trends are anything to go by, Nvidia is likely to be more valuable than Intel for quite some time, especially given AMD’s competitiveness with Intel’s processors in recent years. 

Intel has been one of US’ top chipmakers for several decades, competing with Texas Instruments for the top spot in the late 1990s and early 2000s and the likes of Qualcomm between late 2012 and mid-2014. Since then, Intel has remained at the top of the market, at least according to the Dow Jones Index. 

With Nvidia’s explosive success within the server/AI market, continued success in the gaming market and robust product offerings for the emerging autonomous vehicles market, the company has plenty of growth potential and a wealth of diverse markets to exploit. Nvidia also has a long track record of success, a factor which makes the company an appealing investment opportunity for market analysts. 

As it stands, investors are optimistic about Nvidia’s future profits and concerned about Intel’s performance over the next few years. This change is a clear sign that Intel needs to make some significant changes to maintain its market dominance moving forward.