Chipmaker Nvidia Corp, at the forefront of AI innovation, is set to replace Intel Corp in the Dow Jones Industrial Average (DJIA) on Nov. 8. The change reflects Nvidia's rise and the waning dominance of Silicon Valley giant Intel. After a gap of 25 years, Nvidia will replace Intel in the blue-chip Dow Jones Industrial Average index. Nvidia's shares have risen nearly 900 per cent in the last two years. The stock's rise is a testament to the AI ​​boom and investors' huge faith in the companies leading this technological transformation. Nvidia's entry into the Dow is a significant moment for the 128-year-old index.

S&P Dow Jones Indices said on Friday that Nvidia will join the index next week along with paint maker Sherwin-Williams. Intel, once a chipmaking power, has ceded its manufacturing lead to rival TSMC in recent years and missed out on the generative artificial intelligence boom due to missteps including abandoning an investment in ChatGPT owner OpenAI. Intel 's stock falls 54% this year, making the company the worst performer on the index and its share price the lowest in the price-weighted Dow. Intel shares fell 1.6% in Friday trading, while Nvidia shares rose 2.2%. The development comes a day after Intel expressed optimism about the future of its PC and server business, saying current quarter revenue beat estimates but said it still has work to do.