Overview
- Goldman Sachs projects AI hyperscalers will invest more than $500 billion in infrastructure in 2026.
- Developers including Microsoft, Alphabet, Amazon, and Meta are ramping data center construction as capex budgets rise.
- Nvidia is cited as a primary beneficiary, with reporting indicating a backlog in the hundreds of billions as customers seek next‑gen Rubin chips.
- The company’s growing operating cash flow supports a roughly 18‑month cadence for new GPU architectures, reinforcing its product lead.
- Broadcom stands to gain from spending on networking switches, interconnects, and custom ASICs, with reported collaborations spanning Apple, ByteDance, Alphabet, and Meta.