Apple has overtaken Nvidia to reclaim the title of the world's most valuable company, reaching a valuation of $4.88 trillion.

Apple has reclaimed its position as the world's most valuable company by market capitalization, reaching $4.88 trillion, surpassing Nvidia, as investors begin to focus on companies that can sustainably generate revenue from AI.

July 18, 2569 at 04.28:XNUMX a.m., Reuters reported that Apple has reclaimed its position as the world's most valuable company by market capitalization. After surpassing Nvidia, amidst a shift in investor sentiment towards artificial intelligence (AI) investments.

On July 17, Apple's market capitalization was approximately $4.88 trillion, while Nvidia's fell to $4.86 trillion after its share price dropped 3.5%. This resulted in Apple regaining its position as the world's number one company for the first time since April 2568.

This shift reflects investors' increasing interest in companies that directly benefit from the AI ​​trend, such as Nvidia, towards companies with the potential to generate long-term revenue from AI. Tony Meadows, Head of Investment at BRI Wealth Management. I think that Although Apple was once seen as lagging behind its competitors in the AI ​​field because it didn't invest in developing large-scale models like other companies, that perspective is now beginning to change.

He stated that Apple has an advantage by relying less on AI infrastructure investment, while being able to leverage AI through its services business, device ecosystem, and hardware upgrades. This gives investors confidence in its ability to generate consistent profits, rather than relying solely on speculation based on the AI ​​trend.

In recent years, Apple has accelerated its AI capabilities by releasing a new, significantly improved version of Siri to keep up with competitors, both major tech companies and AI startups. At the same time, many analysts believe that the personal data stored on billions of iPhones worldwide could become a crucial resource for enhancing Siri's capabilities in the future, if Apple can utilize this data while maintaining user privacy standards.

However, Nvidia's loss of market share does not mean the company is out of the picture in the AI ​​era. Nvidia's graphics processing units (GPUs) remain crucial to the development of generative AI, and the company has a chance to reclaim its position if investor confidence recovers.

Meanwhile, Apple itself faces challenges after raising prices on some models to compensate for higher costs, which may affect future consumer demand.

Furthermore, the investment trend in AI is beginning to spread to other chip manufacturers, particularly in the memory chip sector, which is gaining increasing attention for its crucial role in AI infrastructure. Examples include Micron, which surpassed $1 trillion in market value in May, and South Korea's SK Hynix, which recently listed on the Nasdaq.

However, the Philadelphia Semiconductor Index (SOX) has fallen nearly 19% from its all-time high in July, as investors began questioning the sustainability of investments in AI. However, the index has still outperformed Nvidia stock since the beginning of the year, reflecting that AI remains a key driver of the technology industry, even as investors become more cautious in their investments.

refer : www.reuters.com

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