Nvidia's Jensen Huang now 13th richest, earns 93 billion in 18 months

Microsoft, Tesla, and Meta buy truckloads of Nvidia chips for their AI projects, skyrocketing investor’s confidence in the chipmaker.

Jensen Huang, Nvidia’s co-founder, president, and CEO, is now the 13th richest person in the world with a 106 billion USD (Rs.8.84 lakh crore) fortune, after Nvidia shares grew by more than 700% from last year.

Jensen Huang, co-founder and chief executive officer of Nvidia Corp., speaks during the Dell Technologies World conference in Las Vegas, Nevada, US. (Bloomberg)

Only Michael Dell (107 billion USD or Rs.8.92 lakh crore), Mukesh Ambani (109 billion USD or Rs.9.09 lakh crore), and Warren Buffett (136 billion USD or Rs.11.34 lakh crore) stand between him achieving a top 10 spot, according to the Bloomberg billionaires index.

Jensen Huang added about 93 billion USD (Rs.7.75 lakh crore) to his net worth in under 18 months after Nvidia stock skyrocketed from below $150 to more than $1,200, an increase of more than 700%, according to a Business Insider report.

The CEO’s 3.5% stake in his company was worth less than $14 billion (Rs.1.16 lakh crore) at the start of last year.

The chipmaker’s market cap has since passed $3 trillion (Rs.250 lakh crore), overtaking Apple to become the world's second-largest public company after Microsoft.

Nvidia stocks skyrocketed because investors are convinced AI is transforming the world, and Nvidia will play a critical role in powering the revolution, with companies like Microsoft, Tesla, and Meta buying Nvidia's graphics processors by the truckload as they rush to build everything from AI-powered chatbots and recommendation systems to self-driving cars and humanoid robots, the report read.

Nvidia was founded with 40,000 USD (Rs.33.36 lakh), after which, Sequoia Capital and other investors invested 20 million USD (Rs.166 crore) in the company. Initially having no name, the founders named company files with the designation ‘NV,’ standing for “next version,” and ultimately deriving the name through “invidia,” the Latin word for envy, according to a News 18 article.