Nvidia’s market value surged close to $5 trillion after AI chip bookings hit $500 billion and US supercomputer deals were announced.
SANTA CLARA: Nvidia is closing in on a historic $5 trillion market valuation, driven by booming demand for its artificial intelligence chips and major new government contracts. On Tuesday, the chipmaker’s stock surged nearly 5 percent, briefly touching a $4.94 trillion market cap before closing at $4.89 trillion.
The sharp rally followed Nvidia’s announcement of $500 billion in booked orders for its AI processors and plans to build seven cutting-edge supercomputers for the US Department of Energy. The strategic deals have strengthened Nvidia’s leadership in the global AI race and continue to fuel investor confidence.
The Santa Clara-based company has seen its stock rise by 50 percent in 2025 alone, becoming one of the fastest growing tech firms by valuation. Nvidia first crossed the $4 trillion mark in July, and with this momentum, it could soon become the first $5 trillion company in history.
Meanwhile, Microsoft, which briefly held the title of the world’s most valuable company earlier this year, also rose by 2 percent, closing at a $4.03 trillion market value.
Nvidia’s rapid ascent highlights the explosive growth of the AI sector, where demand for high-performance chips and processing power has become a central driver for both industry and national tech strategies.
