NEW YORK (Realist English). Nvidia has become the first company in history to surpass a $5 trillion market capitalization, marking another milestone in the artificial intelligence boom that has redefined global markets.
The chipmaker’s shares rose more than 3% on Wednesday, extending a rally that has already seen them gain over 50% since the start of the year. The stock jumped 5% on Tuesday, cementing Nvidia’s transformation from a niche video game graphics producer into the central engine of the global AI revolution.
The latest surge followed remarks from CEO Jensen Huang, who said the company expects to receive $500 billion worth of AI chip orders, alongside plans to build seven new supercomputers for the U.S. government.
Separately, Nvidia announced a $1 billion strategic investment in Nokia, forming a partnership to develop next-generation 6G technology.
The broader tech rally continued this week, with Apple and Microsoft both crossing the $4 trillion valuation mark, pushing U.S. stock indices to new record highs. The gains underscore Wall Street’s continued enthusiasm for companies at the center of the AI race, despite mounting concerns over overheating valuations.
Earlier this month, the International Monetary Fund and the Bank of England cautioned that global equity markets could face turbulence if investor optimism about AI cools.
At the Future Investment Initiative forum in Riyadh, Ark Invest CEO Cathie Wood said a market correction was possible but rejected the notion of an AI bubble. “If our expectations for AI are correct,” she told CNBC, “we are still at the very beginning of a technological revolution.”
