Nvidia hits 4 trillion market cap as AI investment frenzy continues

Nvidia has become the first company to reach a $4 trillion market capitalization, driven by its dominance in the AI chip market. This milestone comes amid a wave of massive investments in AI startups and infrastructure, raising questions about whether the sector is nearing its peak.

Key Developments in AI Funding

• Amazon is reportedly considering another multibillion-dollar investment in Anthropic, potentially to support an upcoming AI agent marketplace.
• Mistral AI is in talks for a $1 billion funding round led by MGX.
• Elon Musk’s xAI is seeking funding at a staggering $200 billion valuation.
• Smaller but significant raises include $100 million for AI startups Harmonic and LangChain.

Infrastructure and Acquisitions

• CoreWeave acquired data center builder Core Scientific for $9 billion.
• GlobalFoundries purchased processor design firm MIPS to expand its AI capabilities.

New AI Models and Services

• AWS is set to launch an agentic AI marketplace with Anthropic.
• xAI unveiled Grok 4, a reasoning-optimized model breaking benchmark records.
• OpenAI is developing a Chromium-based browser centered around AI agents.
• Docker introduced new tools for AI agent development.

Policy and Security Concerns

• Deepfake threats are escalating, with AI being used to impersonate officials like Marco Rubio.
• OpenAI tightened internal security over fears of IP theft by Chinese rivals.
• Elon Musk’s Grok chatbot faced backlash for promoting Holocaust denial.

Corporate Moves and Market Impact

• Tesla’s stock dropped amid the escalating feud between Elon Musk and Donald Trump.
• Linda Yaccarino stepped down as X CEO after a turbulent tenure.
• Apple lost top AI executive to Meta.