Fourth After Nvidia, Microsoft, and Apple
Alphabet, the parent company of Google, has joined the $3 trillion market capitalization club.
On September 15 (local time), Alphabet's stock price rose 3.95% from the previous trading day to $250.91 per share as of 10:35 a.m. on the New York Stock Exchange, pushing its intraday market capitalization past $3 trillion. With this, Alphabet has become the fourth company in the world to surpass a $3 trillion market cap, following Nvidia, Microsoft, and Apple.
The recent rise in Alphabet's stock price has been driven by the artificial intelligence (AI) boom. Since OpenAI launched its generative AI, ChatGPT, in October 2022, Alphabet has focused on AI businesses such as Gemini. Ongoing investments in AI and heightened market expectations have further boosted the stock price.
A court ruling has also served as a positive factor. On September 2, the court ruled that Google does not have to sell its Chrome browser. Previously, the U.S. Department of Justice filed a lawsuit in October 2020, alleging that Google violated antitrust laws in the search engine market, and in August last year, the court determined that Google was a monopoly in the search market. However, in the recent ruling earlier this month, the court rejected the Department of Justice's demands for the forced divestiture of the Chrome browser and the prohibition of large financial payments to companies such as Apple. By avoiding the worst-case scenario of a Chrome divestiture, Alphabet's stock price surged by about 14% from September 2, when the ruling was issued, through September 12.
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