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Just a few months ago, it felt impossible to imagine anyone catching Nvidia. The company had become the face of the AI boom, the first to cross the $5 trillion mark and the biggest beneficiary of the global race to build AI.
But markets have a funny way of changing the story.
Apple has now reclaimed the title of the world's most valuable company with a market capitalisation of $4.9 trillion, overtaking Nvidia at $4.7 trillion. Its shares have gained around 25% this year, far ahead of the broader S&P 500.
What's surprising is that Apple didn't win by spending the most.
While Microsoft, Alphabet, Meta and Amazon continue pouring hundreds of billions of dollars into AI chips and data centres, Apple has taken a far more measured approach. Instead of building massive AI infrastructure, it has focused on what it already does best-selling devices, strengthening its ecosystem and protecting its cash flows.
Ironically, that's exactly what investors are rewarding today. As questions grow around whether Big Tech's massive AI spending will generate enough returns, Apple has emerged as the company proving that disciplined capital allocation can still create enormous shareholder value.
The optimism isn't just about strategy. Apple is also expected to report its strongest June-quarter revenue growth in five years, helped by resilient iPhone demand and improving services revenue. Investors are beginning to believe that Apple can continue growing even before AI becomes a major earnings driver.
The ripple effects are reaching India too.
As Apple shifts more production away from China, India has become one of its fastest-growing manufacturing hubs. Suppliers like Foxconn and Tata Electronics are expanding rapidly, iPhone exports continue to hit record highs, and thousands of jobs are being created across factories, logistics and component suppliers.
That's what makes this story bigger than a change in rankings.
Apple reclaiming the crown isn't simply about overtaking Nvidia. It reflects a broader shift in investor thinking from rewarding companies that spend the most on AI to those that can turn innovation into sustainable profits. And as Apple's footprint in India continues to grow, that shift could have meaningful implications far beyond Wall Street.
