Nvidia has become the world’s first publicly traded company to reach a $5 trillion market capitalization, marking a historic milestone in the tech industry. Shares surged more than 5.6% on Wednesday, hitting a high of $212.19, according to Bloomberg, driven by strong investor confidence in the company’s central role in the global artificial intelligence boom. The achievement comes just three months after Nvidia crossed the $4 trillion mark in July, underscoring its meteoric rise. The surge followed several key announcements. CEO Jensen Huang revealed that Nvidia expects $500 billion in AI chip sales, reflecting soaring demand for its graphics processing units (GPUs), which are essential for training and running large language models. The company also announced plans to build seven new supercomputers for the U.S. government, focused on national security, energy, and scientific research—each requiring thousands of Nvidia GPUs. These developments have reinforced investor belief in the company’s long-term growth potential. In a major strategic move, Nvidia invested $1 billion in Nokia, forming a partnership to develop “AI-native” 5G-Advanced and 6G cellular networks. This collaboration aims to integrate Nvidia’s AI platforms with next-generation telecom infrastructure, positioning the company beyond data centers and into the future of global communications. The market’s enthusiasm was further fueled by a statement from former U.S. President Donald Trump, who said he plans to discuss Nvidia’s powerful Blackwell AI chips with Chinese President Xi Jinping during a potential meeting. The Blackwell chips are currently restricted from export to China due to U.S. trade controls, but the prospect of easing these restrictions has sparked optimism among investors about future revenue opportunities. Nvidia’s rise has been fueled by its dominance in AI hardware. Its GPUs are uniquely suited for the parallel processing demands of AI workloads, and their scarcity has made them a critical component in the global race to build AI infrastructure. As data centers expand to support increasingly complex models, Nvidia’s technology has become indispensable, driving both sales and stock performance. The company’s success has also contributed to a broader tech rally, with other AI-related firms seeing significant gains. However, the rapid escalation in valuations has raised concerns about a potential AI bubble. The International Monetary Fund and the Bank of England have recently warned that if investor enthusiasm for AI-driven growth fades, global markets could face a sharp correction. With a $5 trillion market cap, Nvidia is now worth more than the combined stock markets of all countries except the United States, China, and Japan. It now ranks as the most valuable company in the world, surpassing Apple, Microsoft, Alphabet (Google’s parent), Amazon, and Meta. This milestone reflects not just Nvidia’s technological leadership but also the transformative impact of AI on the global economy. As AI reshapes industries from healthcare to finance, Nvidia stands at the center of the revolution—providing the hardware that powers it. While the company’s future growth remains tied to continued demand and innovation, its $5 trillion achievement marks a defining moment in the history of technology and finance.