Nvidia became the first company to surpass a $5 trillion market capitalization, closing up more than 3% at roughly $5.03 trillion as investors continue to pile into AI-related bets. The chip designer’s value now exceeds the GDP of every nation except the U.S. and China, underscoring how central its processors have become to the current AI buildout. Shares are up more than 50% this year and over 1,500% in five years, far outpacing the S&P 500 and Nasdaq. CEO Jensen Huang, fresh off an AI conference in Washington, D.C., touted a new slate of partnerships and projected $500 billion in AI chip orders through next year. The rally has sparked debate over whether AI enthusiasm risks a bubble reminiscent of the late-1990s internet boom. Geopolitics remain a wild card: the administration continues to limit China’s access to top-end AI hardware, and the president said he plans to discuss Nvidia’s flagship Blackwell chips with China’s Xi Jinping at an upcoming meeting in South Korea. Nvidia’s market cap now eclipses the combined valuations of rivals including AMD, Intel, Broadcom, TSMC, Micron, ASML, Lam Research, Qualcomm and Arm.
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