NVIDIA CEO’s fortune exceeds Intel’s market value

The world of technology is witnessing an unprecedented phenomenon: the personal worth of the CEO of NVIDIAJensen Huang, surpassed the market value of one of the most traditional giants in the semiconductor sector. With an estimated net worth of a staggering $109.2 billion, Huang is now worth more than Intel, whose current market capitalization stands at $96.39 billion.

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NVIDIA is the third largest company in the world

This surprising development is a direct result of NVIDIA’s resounding success in the computer market. artificial intelligence (IA). As a leading manufacturer of GPUs for AI acceleration, the company has seen its shares soar, briefly becoming the most valuable company in the world by market capitalization last June.

Although there was a subsequent correction, with a drop of around 10% from its historical peak, the NVIDIA remains the third largest company in the worldbehind only giants like Apple e Microsoft.

The exponential growth in NVIDIA’s value has greatly benefited Huang, who directly owns more than 75 million shares of the company, plus an additional 786 million through various trusts and partnerships. Even after selling 6 million shares this year, pocketing more than $700 million, that represents only a tiny fraction of his total holdings in NVIDIA.

Intel is not experiencing its best moment

Meanwhile, the Intel faces a challenging year. Its price per share, currently at $22.59, is less than half the record high of over $50 reached in late 2023. The company took a significant hit in August when its financial difficulties came to light, resulting in a loss of $39. billions in market capitalization practically overnight. Rumors even suggest that Intel could be removed from the Dow Jones Industrial Average due to this performance.

The disparity between Huang’s personal worth and Intel’s market value sparked speculation and memes on social media. Some users joke, encouraging the executive known for his leather coats to buy the “Blue Team”.

While it’s a fun idea to imagine Huang buying Intel and still having $13 billion to spare, such a move is highly unlikely and would face enormous regulatory and antitrust hurdles.

NVIDIA is the one selling the picks in the gold rush

Huang and NVIDIA’s success has not gone unnoticed by industry leaders. Reports suggest that both Elon Musk and Larry Ellison, the top two names on Forbes’ billionaires list, have begged Huang for more AI GPUs, highlighting NVIDIA’s crucial position in the current technology landscape.

This development highlights the rapid evolution of the technology sector, where companies focused on AI and advanced computing are quickly overtaking traditional giants. It also highlights the transformative impact that AI is having not only on general-purpose technology, but also on the global economy and personal fortunes.

While Intel’s future remains uncertain, Huang and NVIDIA’s meteoric rise shows the power of being in the right place at the right time, as well as the power of technological innovation and technology market volatility.

Source: Tom’s Hardware