Particle.news
Download on the App Store
15 ARTICLES
·
4w ago

Broadcom Lands $10 Billion AI Chip Order, Lifts Outlook as Shares Surge

Analysts widely point to OpenAI as the unnamed buyer, signaling rising demand for inference‑focused custom silicon.

Nvidia's CEO, Jensen Huang, with a Grace Hopper AI superchip platform.
Broadcom Inc. headquarters in San Jose.
Image
Image

Overview

  • Broadcom reported fiscal Q3 revenue of $15.95 billion, up 22% year over year, with adjusted EPS of $1.69 and AI revenue rising 63% to $5.2 billion.
  • The company raised its Q4 sales outlook to $17.4 billion and projected about $6.2 billion in AI semiconductor revenue for the quarter.
  • CEO Hock Tan said a new customer placed more than $10 billion in orders for custom AI accelerators, with shipments expected to ramp next year.
  • Multiple outlets and analysts say the buyer is likely OpenAI and report the two have co‑designed inference chips intended mainly for internal use.
  • Broadcom shares jumped roughly 10%–16% as Nvidia and AMD fell, analysts lifted long‑term AI forecasts with some topping $40 billion for fiscal 2026, and Tan said he intends to remain CEO at least through 2030.