Artificial intelligence (AI) chip giant Nvidia yesterday made history when it became the first company in the world to reach a market value of $5 trillion (RM20.98 trillion).
The impressive achievement was recorded as investors remained optimistic that technological advances will spark a new wave of innovation and growth.
The situation caused Nvidia's share price to rise 4.91% to $210.90 (RM884.83) when trading opened on Wall Street, thus boosting the company's market value to an all-time high.
The surge was driven by continued strong sales, several new deals including a collaboration with Europe's Nokia announced yesterday, and expectations that Nvidia will regain access to the Chinese market in the near future.
Nvidia's CEO Jensen Huang is expected to be in South Korea this week to attend side events of the APEC Summit.
At the conference, US President (US), Donald Trump is expected to meet Chinese President Xi Jinping to discuss issues related to AI development.
In recent weeks, Nvidia has also announced several strategic partnerships, including a plan to invest up to $100 billion (RM419.6 billion) in OpenAI, the company that developed ChatGPT, over the next few years.
Nvidia also plans to invest $5 billion (RM20.98 billion) in its rival, Intel, in response to the Trump administration's efforts to bring more semiconductor manufacturing back to the US.
Meanwhile, Nvidia chips are currently not sold in China due to a combination of Beijing's ban, national security concerns, and ongoing trade tensions between the US and China.
The Trump administration has been cautious about selling AI chips to Beijing, but has faced criticism from hardline groups in the US who want stricter restrictions on AI technology.
