Nvidia became the first company to surpass $5 trillion in market value after a fresh rally driven by AI-chip demand.

Nvidia was set to open above a $5 trillion market value on Wednesday, becoming the first company to reach the milestone after a powerful rally that has made the chip designer the centerpiece of the artificial intelligence boom.

Nvidia commits $1 billion to acquire a 2.9 % stake in Nokia, aiming to build AI-networking infrastructure and signal next-gen connectivity strategy.

Nokia’s shares surged over 20% this week after Nvidia stock revealed a $1 billion investment forming a new alliance to develop AI-driven networking and 6G infrastructure.

The $5 trillion valuation surpasses the total cryptocurrency market value and equals roughly half the size of the pan European Stoxx 600 equities index, Reuters notes. At current prices, Huang’s stake in Nvidia would be worth about $179.2 billion, making him the world’s eighth-richest person.

The Wall Street milestone underscores the company's swift transformation from a niche graphics-chip designer into the backbone of the global AI industry.

This opens up the door for AI development and testing on MacBooks, as well as running AI locally for assistive purposes.

If the Trump administration allows Nvidia to sell a version of its best AI chip to China, as the President opened the door to on Wednesday, experts say it would severely decrease the American advantage in artificial intelligence.

Arrive AI shares jumped over 5% as Nvidia’s record-breaking $5 trillion valuation fueled gains across AI-linked and crypto-integrated companies.