Nvidia Surpasses Germany(euronews.com)
euronews.com
Nvidia Surpasses Germany
https://www.euronews.com/business/2026/05/16/nvidia-surpasses-germany-how-the-market-caps-of-tech-giants-compare-to-top-economies
17 comments
Indeed. When people make bad comparisons it usually indicates they have no clue what they’re talking about
> When people make bad comparisons
It’s not a stupid comparison. Just one that requires nuance. There is a valid observation in China and America consistently producing companies that, with tens of thousands of employees, create wealth rivaling that produced by millions of others.
It’s not a stupid comparison. Just one that requires nuance. There is a valid observation in China and America consistently producing companies that, with tens of thousands of employees, create wealth rivaling that produced by millions of others.
Why compare the Nvidia marketcap with the GDP of Germany in one year? Why not 1 month? Why not one decade?
I‘m glad you didn’t write value
How much of the market valuation is actually created wealth? Not something I'm used to thinking about.
> How much of the market valuation is actually created wealth?
Technically, all of it. Determining the socially-useful component of either production or wealth, on the other hand, is a tough and subjective exercise. (Wwrong answers are all and zero.)
A useful proxy is taxable wealth. So far, NVIDIA, OpenAI and Anthropic share sales have generated tens if not hundreds of billions of dollars of taxable proceeds for the United States. Those are figures that would pay for a lot of Germany's pension problems [1].
[1] https://www.ifo.de/en/opinion/2025-10-08/hidden-multi-billio...
Technically, all of it. Determining the socially-useful component of either production or wealth, on the other hand, is a tough and subjective exercise. (Wwrong answers are all and zero.)
A useful proxy is taxable wealth. So far, NVIDIA, OpenAI and Anthropic share sales have generated tens if not hundreds of billions of dollars of taxable proceeds for the United States. Those are figures that would pay for a lot of Germany's pension problems [1].
[1] https://www.ifo.de/en/opinion/2025-10-08/hidden-multi-billio...
Meaningless comparison and category error.
I challenge you to put the information in this article to use.
Market cap is the number of shares multiplied by whatever (some small number of) those shares traded for lately.
GDP is actual economic activity. Money changing hands for goods and services.
A better (but still ultimately meaningless) comparison between the two would be economic activity.
Germany 2025 GDP: 5T USD
Nvidia 2025 revenue: 130B USD
I challenge you to put the information in this article to use.
Market cap is the number of shares multiplied by whatever (some small number of) those shares traded for lately.
GDP is actual economic activity. Money changing hands for goods and services.
A better (but still ultimately meaningless) comparison between the two would be economic activity.
Germany 2025 GDP: 5T USD
Nvidia 2025 revenue: 130B USD
> Meaningless comparison
The comparison isn’t meaningless. (The headline is nonsense.)
> comparison between the two would be economic activity
I almost hate comparing revenue to GDP more than market cap! Production measures finished goods. Revenue mixes intermediate and finished goods. So yes, you’re comparing two flows, but the complexity hidden therein is actually less intuitive to wrap one’s head around than a stock-versus-flow comparison, which we all understand with speed-versus-distance.
The comparison isn’t meaningless. (The headline is nonsense.)
> comparison between the two would be economic activity
I almost hate comparing revenue to GDP more than market cap! Production measures finished goods. Revenue mixes intermediate and finished goods. So yes, you’re comparing two flows, but the complexity hidden therein is actually less intuitive to wrap one’s head around than a stock-versus-flow comparison, which we all understand with speed-versus-distance.
Not directly related, but still reminds me of the recent Kurzgesagt (they are famous for well-researched content and are originally from Germany) video[1] about the bleak future Germany is facing in upcoming decades.
[1] https://www.youtube.com/watch?v=n-gYFcVx-8Y
[1] https://www.youtube.com/watch?v=n-gYFcVx-8Y
Yes, I'm sure Germany has plenty of problems that need addressing. But -
> Nvidia’s market capitalisation ($5.7 trillion) has overtaken Germany’s GDP ($5.45 trillion).
- is about like saying "my orange tree is taller than the pile of apples harvested from your apple tree".
> Nvidia’s market capitalisation ($5.7 trillion) has overtaken Germany’s GDP ($5.45 trillion).
- is about like saying "my orange tree is taller than the pile of apples harvested from your apple tree".
Germany’s GDP is the apples harvested this year. Nvidia’s market cap is what investors think the entire orchard will produce over decades.
So really it should be Germany's "Fruit Pile" and Nvidia's "predicted orange production" over decades.
That refinement captures that Germany's GDP is more than one fruit, and a snapshot of this year. And Nvidia is more narrow (one fruit), and operating on a different time horizon.
So really it should be Germany's "Fruit Pile" and Nvidia's "predicted orange production" over decades.
That refinement captures that Germany's GDP is more than one fruit, and a snapshot of this year. And Nvidia is more narrow (one fruit), and operating on a different time horizon.
> Nvidia’s market capitalisation ($5.7 trillion) has overtaken Germany’s GDP ($5.45 trillion).
Germany’s GDP is not $5.45 trillion. Germany’s GDP is $5.45 trillion per year.
I can overtake your car because I can run at 5.5 m/s, while the length of your car is only 5 m.
Germany’s GDP is not $5.45 trillion. Germany’s GDP is $5.45 trillion per year.
I can overtake your car because I can run at 5.5 m/s, while the length of your car is only 5 m.
90% of NVDA revenue is one segment — data center. Germany has 83M people and industrial output across dozens of sectors. All that market cap rests on a single product cycle.
So Nvidia is worth about 1/6 of the US GDP. More than any company in the US history (except standard oil?). That's too big to fail, isn't it?
well folks it has finnaly happened, and Germany will now have to issue shares/citizenship stock, and allow people to sell and trade there nationalities.
“The newly created Rentenmark was introduced alongside the old Papiermark on 15 November. Because of the economic crisis in Germany after the First World War, there was no gold available to back the currency. Luther thus used Helfferich's idea of a currency backed by real goods. The new currency was backed by the land used for agriculture and business. This was mortgaged…”
https://en.wikipedia.org/wiki/Rentenmark
https://en.wikipedia.org/wiki/Rentenmark
Equity value is a stock metric. GDP is a flow. Put another way, Germany outputs about one NVIDIA every year. (The total value of the German stock market is about €3tn. A better comparison would be that NVIDIA and Anthropic are worth as much as all of Germany’s public equity.)
[1] https://en.wikipedia.org/wiki/Stock_and_flow