🔗 Share this article Nvidia Hits World's First Landmark of Turning into a $5tn Corporation Nvidia has become the pioneering $5tn firm, only three months after the Silicon Valley chipmaker first broke through the $4tn market value mark. In comparison, Nvidia’s value is greater than the gross domestic product of Japan, India, and the UK, as reported by IMF data. Soon after US stock markets opened this Wednesday, Nvidia’s stock reached over $207 with 24.3 billion shares outstanding, placing its market capitalization at $5.05tn. Strong demand for Nvidia’s processors, seen as the most cutting edge in driving artificial intelligence software and tools, is the main reason that the company’s stock price has surged dramatically from the start of last year. American equities has hit multiple record highs this week, supported by expansive investment in AI technology. Major Announcements and Strategic Moves On Tuesday, Nvidia’s CEO, Jensen Huang, disclosed $500bn in chip orders. The company also unveiled a partnership with the ride-hailing service on autonomous taxis and a $1bn investment in the telecom firm, with the two planning to work together on 6G technology. In addition, Nvidia is teaming with the American energy agency to build multiple AI supercomputers. Last month, Nvidia stated that it will commit $100bn in OpenAI as part of a joint effort that will include at least 10GW of AI computing facilities to boost the computing power for the developer of the artificial intelligence chatbot ChatGPT. This past summer, Huang mentioned Nvidia was exploring a potential new processor tailored to the Chinese market with the former U.S. government. Donald Trump remarked aboard his plane that he would discuss with the Chinese president, Xi Jinping, about Nvidia’s technology later this week. AI Boom and Market Impact Hitting the new benchmark puts more emphasis on the transformation caused by an AI frenzy that is considered the most significant change in technology since the tech pioneer Steve Jobs unveiled the original smartphone nearly two decades back. The tech giant capitalized on the smartphone’s popularity to become the initial listed firm to be worth $1 trillion, $2 trillion and finally, $3tn. Potential Concerns However, worries exist of a possible AI bubble, with officials at the Bank of England earlier this month flagging the increasing danger that tech stock prices driven by the AI boom could burst. IMF’s managing director has issued comparable warnings.