Nvidia Becomes First Company to Hit $5 Trillion Market Cap as AI Boom Drives Stock Surge

Oct 29, 2025
CNN
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Summary

Nvidia becomes the first company in history to reach a $5 trillion market valuation, surging 3% as unprecedented AI chip demand and potential US-China trade discussions fuel investor optimism about the company's dominance in the artificial intelligence revolution.

Key Points

  • Nvidia becomes the world's first company to reach a $5 trillion market valuation, achieving this milestone just three months after crossing $4 trillion
  • The chipmaker's stock rises 3% at Wednesday's open, driven by unprecedented demand for AI chips and hopes for potential US-China discussions that could open Chinese markets to Nvidia's high-end processors
  • Nvidia's meteoric rise reflects the broader AI boom, with the company estimating it will benefit from up to $4 trillion in AI infrastructure spending by the end of the decade

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