Nvidia $5T and where does OpenAI end up?

Nvidia became the first company valued at $5T yesterday. Apple and Microsoft both crossed $4T as well. The AI boom has been good for the largest players in the space. Call it a bubble, but investors are hungrier than ever to get into the AI boom.

OpenAI also announced that they have restructured their partnership with Microsoft and are now officially a for-profit company. This paves the way for the company to eventually go public.

With the last round at $500B, I wonder how big this IPO can actually get? What is the end goal at IPO? A $1T valuation or perhaps even higher? At this point, I’d wager that $1T would be the floor that they would consider going public at. And if I’m being honest, I wouldn’t be surprised that they get there sooner than later depending on the demand right now.

Is it a bubble or a perhaps once in a lifetime technological advancement? It’s clear that this is both. I don’t know how this will all end up, but I’m still of the belief that the largest companies will benefit the most given the high cost of running AI. So far that has been true.