Alphabet becomes world’s second-most-valuable company

The company closed Wednesday’s trading session with a market capitalization of $3.89 trillion, topping Apple’s $3.85 trillion

Alphabet has officially overtaken Apple as the second-most-valuable company in the world.

The company closed Wednesday’s trading session with a market capitalization of $3.89 trillion, topping Apple’s $3.85 trillion. It marked the first time the Google parent company has surpassed the iPhone maker in value since 2019.

Alphabet widened its lead Thursday, as shares in the tech company rose 1%, putting its $3.94 trillion market cap further above Apple’s $3.84 trillion at the market close.

Alphabet-owned Google has recast its image from a fading internet giant to a leading AI innovator. Although the company was initially seen as threatened by more nimble AI rivals, especially OpenAI, Google has used its scale to reassert leadership in the AI space — across both cutting-edge software and custom hardware. Its AI chips, known as TPUs, have become one of the largest competitive threats to Nvidia, as they attract interest from Meta and Anthropic. And Google’s latest Gemini 3 AI model widely outperformed rivals on industry benchmark tests.

Alphabet was the top-performing “Magnificent Seven” Big Tech stock in 2025, notching a 65% gain, followed by Nvidia’s 39% surge. Analysts expect Alphabet to continue as a top-performing stock in 2026.

From generative AI models to expanding AI tools across Search, Cloud, and productivity products, the company is increasingly seen as one of the biggest beneficiaries of the AI boom.

Apple has faced pressure amid concerns about slowing hardware demand and questions over the pace of its AI rollout. While Apple remains one of the world’s most valuable companies, Alphabet’s ascent reflects shifting market sentiment as AI becomes a central force shaping Big Tech valuations.

Despite Alphabet’s surge ahead of Apple this week, the company’s nearly $4 trillion market cap lags AI chipmaker Nvidia’s $4.5 trillion value.