Just how rich are businesses getting in the AI gold rush?
Nvidia and Microsoft are not the only winners
Barely a day goes by without excitement over artificial intelligence (AI) sending another company’s market value through the roof. This month the share price of Dell, a hardware-maker, jumped by over 30% in a day because of hopes that AI will boost sales. Days later Together AI, a cloud-computing startup, raised new funding at a valuation of $1.3bn, up from $500m in November. One of its investors is Nvidia, a maker of AI chips that is itself on an extended bull run. Before the launch in November 2022 of ChatGPT, a “generative” AI that responds to queries in uncannily humanlike ways, its market value was about $300bn, similar to that of Home Depot, a home-improvement chain. Today it is $2.3trn, $500bn or so shy of Apple’s.
Explore more
This article appeared in the Business section of the print edition under the headline “The AI pie”
Business March 23rd 2024
- Just how rich are businesses getting in the AI gold rush?
- Europe wants startups to do AI with supercomputers
- Demand is soaring for capitalism’s emergency surgeons
- Luxury hotels are having a glorious moment
- Could Aldi’s supermarkets conquer America?
- TikTok is not the only Chinese app thriving in America
- The secret to career success may well be off to the side
- Can anything stop Nvidia’s Jensen Huang?
More from Business
DeepSeek poses a challenge to Beijing as much as to Silicon Valley
The story of Liang Wenfeng, the model-maker’s mysterious founder
Nvidia is in danger of losing its monopoly-like margins
But don’t count it out yet
DeepSeek sends a shockwave through markets
A cheap Chinese language model has investors in Silicon Valley asking questions
Germans are world champions of calling in sick
It’s easy and it pays well
Knowing what your colleagues earn
The pros and cons of greater pay transparency
A $500bn investment plan says a lot about Trump’s AI priorities
It’s build, baby, build