Apple briefly topped Nvidia in market value on July 17, reaching about US$4.88 trillion as Nvidia fell to about US$4.84 trillion in early trading.

Nvidia later closed slightly ahead and remained near the US$5 trillion mark.

The move reflects a broader rethink of AI (AI) exposure. Some investors favor companies with lighter capital spending needs.

Nvidia remains central to the AI boom, but investor attention has also shifted to memory chipmakers and other infrastructure stocks.

Analysts pointed to Apple’s lower AI infrastructure burden, a possible multiyear iPhone replacement cycle, and continued services growth as AI features spread across its devices.

Evidence that AI is already driving consumer demand is mixed. In one survey, only 18% of iPhone owners said AI was their main reason to upgrade.

The broader chip sector has also come under pressure, including a 13.38% one-month drop in the PHLX Semiconductor Index.

🔗 Source: Reuters