The news is the latest sign of skyrocketing valuations for privately held AI start-ups, which show growing investor enthusiasm for AI and confidence that companies like Anthropic will justify that valuation over the long term, eventually generating billions in profits.

The world was introduced to Nvidia in 2024. The semiconductor company is the leading seller of computer chips for artificial intelligence (AI) data centers, which are getting a huge boost in demand. Nvidia's revenue and profits have soared in the last few years,

Because Nvidia's shares have risen over the last few days, the magic amount is even lower now. In my backward-looking exercise, I also examined what signs might have pointed to Nvidia's potential for massive gains.