CALIFORNIA, October 29, 2025: Nvidia Corporation moved to the brink of becoming the world’s first company valued at five trillion dollars on Tuesday after reporting record demand for its artificial intelligence processors and unveiling plans to build seven new supercomputers for the United States Department of Energy. The company’s stock surged nearly five percent in trading, closing at 4.89 trillion dollars in market capitalization after briefly touching 4.94 trillion dollars. The Santa Clara, California-based chipmaker said it had secured approximately 500 billion dollars in bookings for its next-generation AI processors, underscoring sustained demand from government agencies, research institutions, cloud service providers, and enterprise clients worldwide.
The bookings reflect committed orders for Nvidia’s chips over the coming quarters, further establishing the company’s central role in the global expansion of AI computing infrastructure. Nvidia also announced that it will partner with Oracle to build seven new AI-focused supercomputers for the U.S. Department of Energy. Among them will be “Solstice,” a large-scale system incorporating about 100,000 Nvidia Blackwell GPUs. The new supercomputers will support advanced scientific research, clean energy development, and national security applications. Nvidia stated that construction is already underway and that the systems are designed to strengthen the U.S. high-performance computing network.
Chief Executive Officer Jensen Huang made the announcements at a company event in Washington, D.C., emphasizing Nvidia’s collaboration with federal agencies to expand the nation’s computing capabilities. The partnership with the Department of Energy marks one of the largest public-sector AI infrastructure projects announced to date. The company’s rise in valuation has reshaped global equity markets. With Tuesday’s gains, Nvidia’s market capitalization now stands just below the five trillion dollar mark, a milestone no publicly traded firm has previously reached. Microsoft Corporation, currently the world’s second most valuable company, rose two percent during the same trading session, bringing its valuation to approximately 4.03 trillion dollars.
Nvidia’s stock surge adds $230 billion in market value
Apple Inc. and Alphabet Inc. also recorded moderate gains following Nvidia’s announcement, contributing to broader strength in U.S. technology stocks. Nvidia’s stock has climbed about 50 percent since the start of 2025, driven by accelerating adoption of AI technologies across multiple industries. The company’s processors are widely used in data centers, autonomous systems, telecommunications, and large-scale research environments. Its revenue growth and contract pipeline have continued to expand as demand for high-performance computing increases globally. The sharp appreciation in Nvidia’s market value has also influenced benchmark indices such as the S&P 500 and Nasdaq Composite, where Nvidia is among the largest weighted components.
Five trillion dollar milestone within company’s reach
Analysts noted that its recent performance has contributed significantly to gains across major U.S. indices, reinforcing the broader market’s dependence on AI-related technology stocks. Nvidia’s expansion into government-backed projects represents an additional phase in its development from a graphics-chip manufacturer into a leader in AI infrastructure. Its continued collaboration with national laboratories and technology partners has positioned it at the forefront of advanced computing initiatives designed to accelerate research, innovation, and digital transformation. As of Tuesday’s close, Nvidia’s market capitalization remained within reach of the historic five trillion dollar threshold, with trading activity reflecting heightened investor attention to the company’s role in the ongoing global AI build-out. Microsoft, Apple, and other leading technology firms continue to trail Nvidia in total valuation as the competition for dominance in artificial intelligence hardware and computing capacity intensifies. – By Content Syndication Services.