Mumbai: Nvidia Corp soared past the $5 trillion market capitalisation mark for the first time on Wednesday, as its shares climbed more than 3 per cent at market open, cementing the chipmaker’s position as the biggest beneficiary of the global artificial intelligence (AI) boom. 

The latest rally came a day after the stock surged 5 per cent on Tuesday, continuing its upward momentum driven by relentless demand for AI processors and optimism over new business prospects.

Investor sentiment received a further boost following comments from US President Donald Trump, who said he would meet Nvidia CEO Jensen Huang to discuss the company’s Blackwell AI processors ahead of a planned meeting with Chinese President Xi Jinping. The remarks raised expectations of a possible easing of restrictions on Nvidia’s chip sales to China, one of the company’s largest potential markets.

The milestone underscores Nvidia’s meteoric rise as the driving force behind the AI revolution, with its advanced GPUs powering everything from data centres and autonomous vehicles to cutting-edge AI models.

The Silicon Valley chipmaker crossed the historic milestone just four months after breaching the $4 trillion mark, buoyed by record demand for its AI processors and a string of high-profile partnerships.

Earlier, adding to investor optimism, CEO Huang revealed $500 billion worth of new chip orders, highlighting Nvidia’s growing footprint in enterprise and government AI applications. The company also announced major collaborations — including a partnership with Uber to develop robotaxis, a $1 billion investment in Nokia for 6G technology, and a $100 billion commitment to OpenAI to establish new AI data centres capable of powering the next generation of ChatGPT.

In another landmark deal, Nvidia is working with the US Department of Energy to build seven AI supercomputers, further cementing its leadership in high-performance computing. (IANS)