Intel is being kicked off a key Dow Jones Index — and Nvidia is taking its place

Intel has been kicked disconnected nan Dow Jones Industrial Average scale aft a 25-year stint successful nan latest of a bid of setbacks for nan chipmaker.

Nvidia is group to return Intel's spot and subordinate nan database conscionable weeks aft it deed a $3 trillion marketplace headdress for nan 2nd clip successful 2024 - it presently trails Apple arsenic nan world’s second-most valuable company.

Intel banal is down 51% successful 2024 to date, making it nan worst-performing banal connected nan Dow. It has a marketplace headdress of a touch nether $99 billion.

Nvidia replaces Intel connected cardinal Dow Jones Index

S&P Dow Jones Indices confirmed Nvidia, together pinch overgarment manufacturing institution Sherwin-Williams, will subordinate nan index. Sherwin-Williams will switch Down Inc.

Intel’s exit from nan scale and Nvidia’s summation item nan company’s increasing marketplace dominance, driven by a important boost successful AI spot liking since nan nationalist preview motorboat of ChatGPT 2 years ago. Nvidia stock prices person risen from astir $14 successful November 2022 to $135.37 today.

Once a awesome subordinate successful nan spot market, Intel missed retired connected overmuch of nan early AI opportunity, giving abstraction for Nvidia to predominate a conception of nan marketplace that caters to nan hyperscalers that substance galore of nan AI servers we trust on.

Intel’s astir caller quarterly gross stood astatine $13.3 billion, down 6.3 year-over-year from $14.2 billion. Analysts are now predicting nan institution could make its first yearly nett nonaccomplishment since 1986, pinch 12 months’ gross expected to beryllium astir $54 cardinal erstwhile it announces its last 4th successful 3 months time.

“Losing nan position of Dow Jones inclusion would beryllium different reputational rustle for Intel, arsenic it grapples pinch a achy translator and nonaccomplishment of confidence," Susannah Streeter, caput of money and markets astatine Hargreaves Lansdown, commented.

Intel laid disconnected 15,000 workers, aliases 15% of its past headcount, successful August 2024, blaming precocious costs and debased margins, pinch institution CEO Pat Gelsinger aiming to prevention nan chipmaker $10 cardinal by 2025.

More from TechRadar Pro

• Check retired nan best AI writers
• Upgrade your ain PC pinch our action of nan best processors
• Nvidia could beryllium astir to sound Apple disconnected nan apical spot for astir valuable company