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Apple surpasses Nvidia to become world's most valuable company
Apple has surpassed Nvidia to become the world's most valuable company, with a valuation of $4.88 trillion.
Apple has overtaken Nvidia to become the world's most valuable listed company, marking a significant shift in how investors are viewing the technology sector and the future of artificial intelligence. The change comes after Nvidia's shares fell 3.5% on Friday, allowing Apple to move ahead in market value.
Apple's valuation stood at $4.88 trillion, while Nvidia was valued at about $4.86 trillion, news agency Reuters reported.
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The development signals that investors are no longer focusing only on companies building the infrastructure behind AI. Increasingly, attention is also turning to businesses seen as better placed to generate long-term revenue from AI-powered products and services.
Apple returns to the top
The latest ranking puts Apple back at the top for the first time since April last year. Nvidia had dominated the list for nearly a year after becoming the first company to cross a $5 trillion market valuation in October, driven by surging demand for its AI chips.
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While the latest change reshuffles the rankings, it does not necessarily indicate a permanent shift. Nvidia continues to be one of the biggest beneficiaries of AI spending, with its graphics processors powering much of the generative AI boom.
Why investor sentiment has changed
Analysts reportedly say Apple's rise reflects changing expectations around artificial intelligence rather than a sudden change in its business.
“Apple was seen as a laggard in the AI race because it wasn't spending to develop models, but now sentiment has changed,” Toni Meadows, head of investment at BRI Wealth Management was quoted as saying by news agency Reuters.
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The shift suggests investors are placing greater value on companies that can turn AI into sustainable earnings rather than relying solely on heavy infrastructure spending.
Apple's AI push gains attention
Apple had long faced criticism for moving more slowly than rivals in the AI race. However, the company has recently stepped up its efforts to strengthen its position.
Last month, it introduced a long-awaited overhaul of Siri, betting that the upgraded assistant would help narrow the gap with larger technology rivals and AI-focused startups.
Nvidia remains a key AI player
Despite slipping to second place, Nvidia continues to hold a central role in the AI industry. Its chips remain the backbone of many generative AI systems, and analysts believe the company could return to the top if investor sentiment changes again.
Apple, meanwhile, faces its own challenges after raising product prices to offset higher costs, a move that could affect consumer demand.
(With inputs from Reuters)
