The ongoing AI revolution over the past three years has led semiconductor companies in America to achieve huge gains, which have reflected in the stock performance of these companies, recording unprecedented increases in value led by the chip giant Nvidia.
American semiconductor stocks have never seen such growth before, as the semiconductor sector now represents a record 12.1 percent of the total market value of the S&P 500 index.
This percentage has doubled over the past three years, with the huge rise in semiconductor stock prices.
During this period, the semiconductor index SOX rose by about 111 percent, surpassing the S&P 500 index's gains of 61 percent.
Now, Nvidia accounts for about 56 percent of the market value of the semiconductor sector, followed by Broadcom at 20 percent.
At the same time, Nvidia's market value reached a record level of $3.8 trillion, regaining its position as the highest-valued company in the world.
The massive rise in semiconductor company stocks is expected to continue amid the huge investments being poured daily by major companies in AI.
Chips are a key part of any investment in the sector, which is not only competed for by companies but also by countries. There is competition between China and America for AI leadership.