Following Dell's positive forecast late on Thursday, which indicated a surge in orders for its AI-optimized servers that utilize Nvidia's processors, shares of Nvidia jumped 3.5%. Meanwhile, Dell's stock soared as much as 38% to a record high, before settling up 30%.

The latest gains propelled Nvidia's market capitalization to $2.05 trillion, firmly positioning the graphics processing unit (GPU) giant as Wall Street's third most valuable company. Microsoft and Apple currently occupy the top two spots with market values of $3.07 trillion and $2.75 trillion respectively.

Notably, Super Micro Computer, another company in the server market incorporating Nvidia's chips, also experienced a 6% surge in its stock price. Furthermore, other chipmakers closely associated with AI witnessed record highs: Broadcom and Marvell Technology saw an approximately 8% increase, while Advanced Micro Devices climbed nearly 5%. The PHLX chip index rallied 4.5% to reach its own record high, registering an impressive 2024 gain of 18%.

The dominance of Nvidia in the high-end AI chip market becomes evident as it controls approximately 80% of the sector. Key customers such as OpenAI, Microsoft, Alphabet, and Meta Platforms, all engaged in the rapidly emerging generative AI segment, have been eagerly acquiring Nvidia's components despite tight supplies.

In addition, Nvidia has rapidly emerged as the most traded stock by value on Wall Street, replacing Tesla. Over the past 30 trading sessions, investors have exchanged an average of $36 billion worth of Nvidia shares, compared to Tesla's $21 billion a day. The trading volume in Nvidia on Friday afternoon alone reached an impressive $28 billion.

Notably, on February 23, Nvidia witnessed an extraordinary increase of $277 billion in stock market value in a single session, setting a new Wall Street record. This was driven by the company's projection of a threefold surge in quarterly revenue. With a 65% increase in its stock value in 2024, following last year's more than tripling, Nvidia's market value had recently surpassed that of Amazon and Alphabet.

While Nvidia's stock market value previously touched the $2 trillion mark, it retraced by the end of the session. However, the current surge suggests that the company is now firmly positioned above this significant milestone, fueled by Dell's encouraging AI server forecast.

As Nvidia continues to expand its presence in the AI market and supply high-end processors, the company's market value is expected to remain strong. Wall Street's bullish sentiment surrounding AI-focused tech entities has further boosted the entire chip industry, setting broader positive trends in the sector.