🔗 Share this article The Tech Giant Achieves Historic Landmark of Becoming a $5 Trillion Corporation Nvidia has become the world's first $5tn firm, only a quarter following the Silicon Valley chipmaker initially surpassed the $4 trillion valuation mark. By contrast, Nvidia’s value exceeds the GDP of Japan, India, and the UK, as reported by the International Monetary Fund (IMF). Shortly after US stock markets began trading this Wednesday, Nvidia’s stock touched $207.86 with 24.3bn shares outstanding, placing its market capitalization at $5.05 trillion. Strong demand for Nvidia’s processors, seen as the top-tier in driving AI 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 recently, buoyed up by expansive investment in artificial intelligence. Key Developments and Strategic Moves On Tuesday, Nvidia’s Chief Executive, Jensen Huang, disclosed $500bn in chip orders. Nvidia also unveiled a collaboration with the ride-hailing service on autonomous taxis and a $1 billion funding in Nokia, with the parties aiming to cooperate on 6G technology. In addition, Nvidia is teaming with the US Department of Energy to build seven new AI supercomputers. Recently, Nvidia stated that it will commit $100 billion in an AI research organization as part of a joint effort that will add at least 10 gigawatts of AI computing facilities to boost the processing capacity for the owner of the artificial intelligence chatbot ChatGPT. This past summer, Huang said Nvidia was discussing a prospective computer chip tailored to the Chinese market with the Trump administration. Donald Trump remarked aboard his plane that he would speak with the China's leader, Xi Jinping, about Nvidia’s technology on Thursday. Tech Surge and Economic Significance Hitting the new benchmark puts more emphasis on the upheaval caused by an AI frenzy that is considered the biggest tectonic shift in technology since the Apple co-founder Steve Jobs introduced the first iPhone nearly two decades back. Apple capitalized on the smartphone’s popularity to emerge as the first publicly traded company to be worth $1tn, $2tn and eventually, $3tn. Risks and Warnings But there are concerns of a potential tech bubble, with officials at the Bank of England earlier this month flagging the increasing danger that tech stock prices driven by the AI boom might collapse. The head of the IMF has raised a similar alarm.