Nvidia is close to surpassing a valuation of 5 trillion dollars!

Nvidia is Revolutionizing the Technology World

Nvidia is preparing to make history just three months after surpassing a value of $4 trillion. The company is rapidly progressing towards becoming the first firm to reach a valuation of $5 trillion. This situation is seen as a reflection of the significant technological change brought about by the artificial intelligence craze. It represents the largest seismic shift since Steve Jobs, co-founder of Apple, launched the first iPhone 18 years ago.

Apple, with the success of the iPhone, became the first publicly traded company to reach $1 trillion, then $2 trillion, and ultimately $3 trillion. However, there are some risks involved. Officials from the Bank of England have expressed that technology stock prices may be inflated due to the AI boom. Similar concerns have also been raised by the head of the International Monetary Fund.

The huge demand for Nvidia’s chips has been the primary factor that has rapidly increased the company’s stock prices since the beginning of 2023. On Wednesday, shares reached $207.80 in pre-market trading with 24.3 billion shares traded, setting the company’s market value at $5.05 trillion.

On Tuesday, Nvidia's CEO Jensen Huang announced that they had received chip orders worth $500 billion. He also revealed plans to build seven new artificial intelligence supercomputers in collaboration with the Department of Energy.

Last month, it was revealed that Nvidia plans to invest $100 billion in OpenAI. This partnership will add at least 10 gigawatts of Nvidia artificial intelligence data centers to enhance computational power for the owner of ChatGPT.

This summer, Huang stated that Nvidia was in discussions with the Trump administration regarding a new chip design for China. Numerous media reports indicate that President Donald Trump will be discussing Nvidia’s chips with Chinese President Xi Jinping on Thursday.