AI boom accelerates as Nvidia tops $5 trillion, big tech ramps up spending
The global race to build artificial intelligence infrastructure is only speeding up, with no signs of a slowdown despite talk of a potential tech bubble.
Nvidia became the first company to surpass $5 trillion in market value, cementing its dominance as the chipmaker powering the AI boom. At the same time, Microsoft and OpenAI expanded their partnership, boosting OpenAI’s fundraising capacity as the ChatGPT maker lays groundwork for a possible $1 trillion IPO, News.Az reports, citing Reuters.
Amazon announced 14,000 corporate job cuts — days before reporting the strongest cloud-growth in nearly three years.
While soaring AI revenue at Microsoft, Alphabet, and Amazon was expected, the trend now reaches far beyond tech. More than 100 non-tech companies — from Honeywell to Caterpillar and GE Vernova — cited data-center demand this week. Caterpillar reported a 31% surge in data-center power equipment sales.
Analysts say AI investment is reshaping industrials, power, cooling, and global trade, with semiconductor imports driving U.S. data-center expansion. Goldman Sachs expects AI infrastructure spending to hit $3–$4 trillion by 2030, while Big Tech could spend $350B this year alone.
Even traditional giants like Procter & Gamble and Schindler say AI-driven productivity gains are beginning to show — though unevenly.
Apple is ramping up AI investment, and Amazon projects $125B in capital spending for 2025, underscoring the scale of the new AI industrial era.
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