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Broadcom Rides AI Networking Shift, Rolls Out SMB Private-Cloud Support in EMEA

Analysts see AI data‑center networking demand driving upside for Broadcom’s near‑term results.

Overview

  • Coverage highlights a sector shift from compute to networking as the key AI data‑center bottleneck, with Broadcom winning multi‑billion‑dollar deals tied to that demand.
  • Broadcom is extending a partner-led program that lets resellers bundle private‑cloud software with expert support for small and mid‑sized businesses, with TD Synnex leading the EMEA rollout and further regional expansions planned.
  • JP Morgan’s Harlan Sur forecasts October‑quarter revenue above $17.5 billion, including $6.5–$6.7 billion from AI, and sees January‑quarter revenue topping $19 billion with AI near $8 billion.
  • Sur projects $20–$21 billion in AI revenue for fiscal 2025 with a path to more than $50 billion in fiscal 2026 as new networking and chip programs ramp.
  • Reports suggest Broadcom is in talks with Microsoft to co‑develop custom AI chips, which is unconfirmed, while risks flagged across coverage include heavy hyperscaler concentration and a premium valuation versus peers.