Broadcom

Broadcom Inc. (Nasdaq: AVGO) is a semiconductor company headquartered in Palo Alto, California, known for designing custom AI ASICs and high-speed networking chips that form critical components of AI data center infrastructure. The company operates on a fabless model, relying primarily on TSMC and Samsung Foundry for chip production. Broadcom's AI business is anchored by two product categories. First, its custom AI accelerators: the company designs application-specific integrated circuits (ASICs) for hyperscalers who want purpose-built silicon instead of NVIDIA's general-purpose GPUs. Google's Tensor Processing Units (TPUs), including the latest Trillium generation, are manufactured in partnership with Broadcom. Meta and Apple also rely on Broadcom for custom AI and connectivity chips. Second, its networking silicon: Broadcom's Tomahawk and Jericho switch ASICs provide the high-bandwidth interconnect fabric that links thousands of GPU and TPU accelerators within AI training clusters. CEO Hock Tan has forecast that custom AI ASIC revenue across its three primary hyperscaler customers could reach in excess of $100 billion by FY2027, driven by the trend of large cloud providers designing their own chips to reduce costs and achieve workload-specific performance. Broadcom's networking chips also represent a near-monopoly in data center switching, further entrenching its position in the AI infrastructure stack. The company completed the acquisition of VMware for approximately $69 billion in 2023, adding enterprise software to its hardware-dominated revenue mix. Total FY2024 revenue was approximately $51.6 billion.