The change is meant ‘to ensure a more representative exposure to the semiconductors industry,’ according to S&P.

A changing of the guard will happen before trading opens Nov. 8 among publicly traded chipmakers, with graphics processing unit and artificial intelligence heavyweight Nvidia taking Intel’s spot in the Dow Jones Industrial Average.

S&P Dow Jones Indices, the organization behind the DJIA, said in a statement Friday that the change is meant “to ensure a more representative exposure to the semiconductors industry.”

“The DJIA is a price weighted index, and thus persistently lower priced stocks have a minimal impact on the index,” according to S&P.

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Nvidia Replaces Intel

CRN has reached out to Nvidia and Intel for comment. Both chipmakers are based in Santa Clara, Calif.

The news comes a day after Intel reported a net loss of $15.64 billion in its latest quarterly earnings report using Generally Accepted Accounting Principles. Non-GAAP net loss was $1.98 billion.

The vendor said it expects fourth fiscal quarter 2024 revenue of $13.3 billion to $14.3 billion, down from the $15.4 billion the company reported for its fourth fiscal quarter 2023.

Nvidia will deliver its next quarterly earnings report on Nov. 20. In August, the vendor reportednet income for the latest quarter of $16.6 billion, up more than 168 percent from one year earlier.

Nvidia’s stock was up about 3 percent after market close Friday, trading at about $139 a share. Intel’s stock was down about 2 percent, trading at about $23 a share.