Alphabet's stock price surged over 4% on 15/9, propelling the company's market capitalization to $3.05 trillion for the first time. This achievement places Alphabet among an elite group of American companies, including Apple, Microsoft, and Nvidia, that have also reached this milestone.

Alphabet's stock has climbed more than 30% since the beginning of the year, outperforming the Nasdaq Composite index, which has seen a 15% increase.

This $3 trillion valuation comes 20 years after Alphabet's initial public offering (IPO). Alphabet was established 10 years ago as the parent company of Google. CEO Sundar Pichai took the helm in 2019, succeeding co-founder Larry Page.

Pichai's latest challenge is the rise of new competitors in the burgeoning field of AI. This comes as the company faces legal challenges in the US and Europe. Gemini, Google's flagship AI model, is currently the company's hope for establishing itself as a major force in artificial intelligence.

Alphabet's stock has seen significant growth in the past six months. Chart: Google Finance

Technology stocks have recently benefited from the possibility of the Federal Reserve (Fed) lowering its benchmark interest rate this week. Kim Forrest, Chief Investment Officer at Bokeh Capital Partners, observed that technology has been the driving force behind the US stock market's rally "for the past 18 months, and this could continue for up to two years."

Google also received a boost earlier this month from Judge Amit Mehta's ruling, which allows the company to maintain control over its Chrome browser and Android mobile operating system. The ruling also permits Google to continue paying partners, such as Apple, to feature its search engine on Apple products.

Last year, Judge Mehta ruled that Google had violated antitrust laws. However, he stopped short of demanding the company's breakup, as requested by the US Department of Justice, due to the emergence of new competitors like ChatGPT.

According to the ruling, Google must share some search data and interactions with competitors. This could enable competing AI companies to build and improve their own chatbots and search engines. Despite this, analysts believe Google's scale and data advantage remain substantial.

Ha Thu (via CNBC, Reuters)