Nvidia Shatters Records: Becomes World’s First $5 Trillion Company

Silicon Valley’s chip giant, Nvidia, has officially broken the $5 trillion valuation barrier, a world first for any publicly traded company. The milestone was reached shortly after US markets opened on Wednesday, with shares hitting $207.86, culminating in a staggering $5.05 trillion market capitalization. This achievement underscores the explosive growth of the artificial intelligence sector.
The company’s ascent has been remarkably swift. This $5 trillion landmark comes just three months after Nvidia was the first to ever cross the $4 trillion mark, highlighting an incredible acceleration in value. This growth is fueled almost entirely by the “ravenous appetite” for its cutting-edge chips, which are the gold standard for powering generative AI software and products.
To put this valuation in perspective, Nvidia’s market cap is now greater than the individual gross domestic products (GDP) of major world economies like India, Japan, and the United Kingdom, according to IMF data. The chipmaker has far surpassed its industry competitors, riding a wave of AI investment that has pushed the entire US stock market to multiple record highs this week.
Recent announcements have solidified investor confidence. CEO Jensen Huang recently disclosed a staggering $500 billion in chip orders. Furthermore, the company announced a partnership with Uber for robotaxis, a $1 billion investment in Nokia to co-develop 6G technology, and a major project with the US Department of Energy to build seven new AI supercomputers.
OpenAI, the creator of ChatGPT, is also deeply reliant on Nvidia’s technology for its expansion plans. Nvidia has announced a massive $100 billion investment in OpenAI. This partnership is set to create at least 10 gigawatts of Nvidia AI datacenter capacity, massively scaling up the computing power for the AI leader.