In what could be contemplated as a persistent weakness of the Intel Corp. in the ages of Smartphone revolution, the Santa Clara-based American multinational semiconductor manufacturer Nvidia, incorporated in Delaware, had surpassed Intel for the first time as the most valuable US chipmaker in terms of market cap on Wednesday.
In point of fact, as a landmark milestone for the US chipmaking industry, Nvidia Corp. shares’ prices soared as much as 2.3 per cent in the late-afternoon trading to an all-time closing high of $404 per share, totalling the graphic chipmaker’s market cap at $248 billion, just a notch shy of 1 per cent above the market cap of Intel Corp., once the world’s largest chipmaker.
Robust data centres, AI & auto chip demand help Nvidia outperform Intel Corp.
Aside from that, almost all of the the US chipmakers had outperformed since the benchmark S&P 500 had hit a record low on March 23, but the Intel Corp.
had botched to experience the rebound that Nvidia Corp. shares had witnessed, while the shares’ prices of Intel Corp. lost as much as 3 per cent this year despite a meteoric rise in US stock indices, the Nvidia stocks had gained 68 per cent this year.
Notably, Nvidia’s stocks have been among the strongest performers in the Wall St. over the recent years since it had successfully shifted its businesses towards the trending data-centre, AI and automobiles chip from its core personal computer chip businesses, nonetheless, Intel Corp.
has been scuffling to diversify its businesses following a crucial crumble during the smartphone revolution as beforementioned. On top of that, followed by the Wednesday’s market closure that had set off a landmark breakthrough for the US semiconductor industry, several analysts were quoted saying that the latest setbacks of Intel Corp.
had also been stemmed from an increase in competition in the international market, while the Intel Corp.’s market cap had already dipped below the S. Korea’s Samsung Electronics and Taiwan Semiconductor Manufacturing Co.