Broadcom's AI Chip Sales Surge Amid Overall Revenue Disappointment

Despite a significant increase in AI-related revenue, Broadcom's unchanged full-year forecast leads to a stock decline.

Broadcom Inc. reports a disappointing revenue from its semiconductor business, with a notable drop in stock value, marking its worst decline since 2020.
The company's AI-related revenue is expected to reach $10 billion in 2024, driven by strong demand for networking products and custom AI chips.
Broadcom's overall revenue grew by 34% year-over-year, boosted by its acquisition of VMware, yet its full-year sales outlook remains unchanged at $50 billion.
Marvell Technology also experiences a stock dip following a revenue forecast that fell short of expectations, highlighting challenges in the semiconductor sector.
Broadcom's infrastructure software sales exceed analysts' estimates, showcasing growth in areas beyond its semiconductor business.