Nvidia Surpasses $5 Trillion, Raising Concerns Over AI's Long-Term Path

Nvidia's market capitalization surpassed $5.4 trillion on Friday, making it nearly $2 trillion more valuable than the combined market value of the Russell 2000.

This gap is a result of investors pouring money into companies that benefit from the artificial intelligence boom.

Michael Burry, however, is raising questions about the sustainability of AI assumptions, warning that increasingly recursive use of AI-generated material to train future models could lead to 'model collapse.'