Apple has overtaken Nvidia to become the world's most valuable publicly traded company, marking a shift in investor sentiment as enthusiasm for artificial intelligence expands beyond chipmakers.
Apple's market capitalisation climbed to about $4.88 trillion, edging past Nvidia's $4.86 trillion after shares of the AI chip giant fell around 3.5%. The move reflects growing confidence in Apple's steady earnings, vast services ecosystem and AI strategy, even as Nvidia remains a dominant player in AI hardware.
Investors are increasingly backing companies expected to benefit from AI adoption without requiring the massive capital spending associated with building advanced AI models. Apple has focused on integrating AI features across its devices, including privacy-focused improvements to Siri using on-device personal data.
While Nvidia had earlier crossed the $5 trillion valuation mark on the back of soaring demand for AI chips, the broader semiconductor sector has seen increased volatility. At the same time, companies such as Micron and SK Hynix have also attracted investor interest as AI-related opportunities broaden across the technology supply chain.
The reshuffling at the top of Wall Street highlights how investors are reassessing the next phase of the AI boom, with attention shifting from infrastructure providers to companies expected to monetise AI through consumer products and services.
