NVIDIA Surpasses $4 Trillion Market Capitalization

Chipmaking giant NVIDIA became the first-ever company to hit a $4 trillion market capitalisation in July 2025 – driven by renewed investor appetite for technology stocks and its dominance in AI chipmaking. The rally follows a broader Wall Street tech rebound and NVIDIA’s expanding global reach amid booming AI demand.

Key Takeaways:

• NVIDIA’s valuation now surpasses the nominal GDP of major economies, including the UK, France, Brazil, and South Korea, underlining how market capital is consolidating around AI infrastructure.
• The company has benefited from its control over the chips powering AI services like ChatGPT, helping it cement a lead in data centers, robotics, and next-gen compute platforms.
• A recent thaw in US-China trade tensions has rekindled hopes of renewed chip access for Chinese AI players, positioning NVIDIA for potential demand despite export restrictions.
• The company’s projected $200 billion in revenue and 70% gross margins signal growing investor confidence in the longevity of the AI boom.
• As nations race to develop “sovereign AI,” NVIDIA is becoming a strategic supplier to governments and Big Tech firms alike — reinforcing the idea that AI is not just the future, it’s the frontier of economic power.

Note: Country GDP figures are nominal and expressed in USD trillions, based on the IMF’s World Economic Outlook (April 2025). NVIDIA’s market capitalisation is as of 9th July 2025.

Sources: Financial Times, Bloomberg, IMF.