Broadcom projects AI chip sales to exceed $100 billion by 2027 on surging custom silicon demand
20 Sources
[1]
Broadcom Forecast Underwhelms Investors in Sign of AI Angst
Broadcom Inc. Chief Executive Officer Hock Tan said the company expects its AI chip sales to top $100 billion next year, marking major inroads into territory dominated by Nvidia Corp. "We have line of sight" to reach this milestone in 2027, he said during a conference call with analysts. "We have
[2]
Broadcom sees over $100 billion in AI chip sales by 2027 on robust custom chip demand
March 4 (Reuters) - Chip designer Broadcom (AVGO.O), opens new tab on Wednesday projected its artificial intelligence chip revenue would exceed $100 billion by next year, signaling surging demand for custom artificial intelligence chips in a market dominated by Nvidia. The company's share price
[3]
Broadcom stock rallies as CEO Tan makes strong case for why AI growth will last
He told analysts on Wednesday that he anticipates AI chip revenue in 2027 that's "significantly in excess of $100 billion" as demand mounts for designing custom silicon. That far surpassed many bullish estimates from Wall Street analysts, who now anticipate more potential upside after Tan said the
[4]
Broadcom Ships New AI Chip to Fujitsu, Plans Wider Rollout
Broadcom Inc. is shipping a new custom AI chip design to Fujitsu Ltd. that stacks components to save energy -- an approach it expects big data center operators to adopt later this year. Broadcom's 3.5D eXtreme Dimension System in Package takes two pieces of the chip called dies and stacks them top
[5]
Broadcom's custom AI chip business stays hot and gives the bulls a much-needed win
Broadcom on Wednesday delivered a solid quarterly results while painting an increasingly upbeat picture around the future of its custom AI chip business. The report showed that despite fading enthusiasm for Broadcom's stock, its most important business still has the wind at its back. Revenue in the
[6]
Broadcom CEO Hock Tan sees AI chip revenue 'significantly' above $100 billion next year
Broadcom CEO Hock Tan sees the artificial intelligence boom gaining so much steam that he's projecting AI chip revenue next year "significantly in excess of $100 billion." After the chipmaker reported better-than-expected results for the fiscal first quarter and issued a strong forecast for the
[7]
Broadcom's AI chip business jumps 106% as it cruises to another solid earnings and revenue beat - SiliconANGLE
Broadcom's AI chip business jumps 106% as it cruises to another solid earnings and revenue beat Artificial intelligence chipmaker Broadcom Inc. showed little sign of slowing down as it delivered its latest financial results, easing past Wall Street's expectations and offering solid guidance for
[8]
Broadcom Results Top Wall Street Estimates on Strong AI Demand. Will That Revive a Slumping Stock?
The stock has lost more than a fifth of its value from its December highs amid a broader pullback in AI-exposed stocks. Can Broadcom's latest quarterly results revive enthusiasm for its stock? Shares of Broadcom (AVGO) were recently up more than 4% in extended trading, after the chipmaker posted
[9]
US Stocks: Broadcom shares rise as $100 billion AI forecast signals gains in Nvidia-dominated market
Broadcom shares rose nearly 3% on Thursday after the company predicted over $100 billion in AI chip sales next year, signaling rapid share gains in the market dominated by Nvidia. Broadcom shares rose nearly 3% on Thursday after the company predicted over $100 billion in AI chip sales next year,
[10]
Broadcom CEO Explains $100B Chip Vision, Nvidia, VMware And Supply Chain Success
Broadcom's Hock Tan explains his plan to generate over $100 billion in chip sales by 2027, how agentic AI boosts VMware revenue, how his company is 'gaining' networking share and what large customers Google, OpenAI and Anthropic are buying. CEO Hock Tan is bullish that Broadcom will generate over
[11]
Broadcom rallies as it touts more than $100 billion in AI chip sales in 2027 - The Economic Times
Broadcom shares jumped about 7% before the bell on Thursday after the company said it expects artificial intelligence chip sales to top $100 billion in 2027, as it pushes into a market long ruled by Nvidia. Big Tech firms such as Alphabet, Microsoft , Amazon and Meta are expected to spend more
[12]
Broadcom aims to sell 1M 3D stacked chips by 2027
Broadcom (AVGO) said that it expects to sell at least 1M chips by 2027 based on its stacked design technology, Reuters reported, citing Harish Bharadwaj, vice president of product marketing at Broadcom. Bharadwaj said the 1M chips the company projects Broadcom projects the technology could lead
[13]
Chip designer Broadcom expects to sell 1 million 3D stacked chips by 2027
The company has refined the technology over five years to the point where its first customer, Fujitsu, is making engineering samples to test the design. Fujitsu plans to produce the stacked, or 3D, chips later this year. Artificial intelligence chip designer Broadcom said that it expects to sell
[14]
Broadcom rises as US$100 billion AI forecast signals gains in Nvidia-dominated market
Broadcom shares rose nearly three per cent on Thursday after the company predicted over US$100 billion in AI chip sales next year, signaling rapid share gains in the market dominated by Nvidia. Big Tech's push to secure the vast computing power needed for artificial intelligence has lifted
[15]
Broadcom Gains as AI Chip Outlook Points to $100B Revenue Path by 2027 | Investing.com UK
Broadcom (NASDAQ:AVGO) shares surged approximately 7% in premarket trading on Thursday, March 5, 2026, after CEO Hock Tan declared the company has clear visibility to surpass $100 billion in AI chip sales by 2027. The announcement came on the heels of a record-breaking fiscal Q1 2026 earnings
[16]
Broadcom Q2 revenue guidance beats, sees $10.7 billion in AI semiconductor sales By Investing.com
Investing.com -- Broadcom on Wednesday delivered a quarterly top- and bottom-line beat and provided current quarter revenue guidance that surpassed expectations. Shares of the company whipsawed after hours, last up 0.5%. Palo Alto, California-based Broadcom is a major player in the semiconductor
[17]
Broadcom Sales Rise as AI Developers Build More Products and Agents -- Update
Broadcom posted higher sales in the latest quarter as the type and number of AI customers kept expanding. AI revenue in the quarter more than doubled to $8.4 billion, driven by demand for custom AI accelerators and networking, Chief Executive Hock Tan. Demand is now coming from both hyperscalers
[18]
Broadcom rallies as it touts more than $100 billion in AI chip sales in 2027
March 5 (Reuters) - Broadcom shares jumped about 7% before the bell on Thursday after the company said it expects artificial intelligence chip sales to top $100 billion in 2027, as it pushes into a market long ruled by Nvidia. Big Tech firms such as Alphabet, Microsoft, Amazon and Meta are
[19]
Broadcom beats expectations thanks to the AI boom
Broadcom posted better-than-expected Q1 results, supported by strong growth in its artificial intelligence-related business. The group reported adjusted EPS of $2.05 and revenue of $19.31bn, above analysts' estimates. Revenue rose 29% year-on-year for the period ended February 1. Demand for AI
[20]
Broadcom Logs Higher Sales, Authorizes $10 Billion Buyback Amid Climbing AI Demand
Broadcom posted higher revenue and authorized a share buyback as AI demand continues to drive sales. The semiconductor and software maker on Wednesday posted a first-quarter profit of $7.35 billion, or $1.50 a share, compared with $5.50 billion, or $1.14 a share, a year earlier. Stripping out
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Broadcom CEO Hock Tan announced the company expects AI chip revenue to surpass $100 billion in 2027, marking a significant leap from $20 billion in 2025. The projection signals strong demand for custom AI chips from major tech clients including Google, OpenAI, and Meta Platforms, positioning Broadcom as a formidable alternative to Nvidia in the AI semiconductor market.
Broadcom Sets Ambitious AI Chip Revenue Target
Broadcom CEO Hock Tan revealed during a March 4 earnings call that the company has "line of sight" to achieve AI chip revenue exceeding $100 billion in 2027, a dramatic acceleration from the $20 billion in AI chip sales reported in 2025
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. The announcement sent Broadcom shares up approximately 4% in extended trading and comes alongside a new $10 billion stock buyback program2
. With AI chip revenue projected at $10.7 billion for the current quarter alone, the company is positioning itself to capture a larger share of the semiconductor market dominated by Nvidia, even as concerns about artificial intelligence spending bubbles persist across the industry.
Source: Market Screener
Custom AI Chips Drive Growth Across Major Tech Clients
The surge in Broadcom's AI chip revenue stems from robust custom chip demand from technology giants investing heavily in AI infrastructure. Big Tech firms including Google, Microsoft, Amazon, and Meta Platforms are expected to spend at least $630 billion on AI infrastructure in 2026, boosting demand for AI accelerators, servers, and AI networking equipment
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. Hock Tan disclosed specific capacity commitments: Broadcom expects to deliver 1 gigawatt worth of Tensor Processing Units (TPU) for AI startup Anthropic in 2026, scaling to 3 gigawatts in 20272
. For OpenAI, Broadcom's sixth custom silicon customer, the company plans to ship its first XPU chips in volume in 2027, reaching over 1 gigawatt of computing capacity.
Source: Market Screener
Meta Platforms Relationship Remains Strong Despite Industry Speculation
Addressing concerns about potential customer defections, Tan pushed back against reports suggesting Meta Platforms might reduce its reliance on Broadcom for custom accelerators. "Meta's custom accelerator MTIA roadmap is alive and well," Tan stated, confirming that products are shipping now and next-generation versions will "scale to multiple gigawatts in '27 and beyond". This reassurance addresses a key investor worry about hyperscalers potentially bringing more chip design work in-house using customer-owned tooling. Tan argued that during the current land-grab stage of AI computing, customers need specialized solutions delivered quickly and at significant volumes—a capability where Broadcom's experience with third-party manufacturers like TSMC provides a competitive edge
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.Strong Quarterly Performance Beats Wall Street Expectations
Broadcom reported fiscal first-quarter revenue of $19.31 billion for the period ending February 1, surpassing analyst estimates of $19.18 billion and representing 29% annual growth
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. Adjusted earnings per share reached $2.05, exceeding the $2.03 consensus forecast. AI revenue more than doubled to $8.4 billion in the quarter, driven by demand for custom AI accelerators and AI networking solutions—a faster growth rate than the company had anticipated. The company's second-quarter revenue forecast of approximately $22 billion also topped analyst expectations of $20.56 billion2
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Advanced Chip Technology Expands Customer Base
Broadcom recently shipped a new AI chip design to Fujitsu featuring 3.5D eXtreme Dimension System in Package technology, which stacks chip components to improve power efficiency
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. The company has been developing this stacking approach with TSMC for approximately five years and now has "half a dozen of these designs in development" for various customers beyond Fujitsu4
. Broadcom announced last month it expects to sell at least 1 million chips by 2027 based on this stacked design technology, representing a potential revenue stream worth billions of dollars2
. Analysts at JPMorgan estimate the company can generate between $12 billion and $15 billion in revenue per gigawatt by 2027, with Broadcom nearing 10 gigawatts of capacity across six customers3
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Source: Reuters
Supply Chain Secured for Massive Expansion
Hock Tan emphasized that Broadcom has "secured the supply chain required" to achieve the $100 billion AI chip revenue milestone in 2027. This supply chain assurance addresses a critical concern for investors monitoring whether semiconductor companies can deliver on ambitious growth projections amid global manufacturing constraints. For Google specifically, Tan noted continued growth trajectory in 2026 with strong demand for the seventh-generation Ironwood TPU, with expectations for "even stronger demand from next-generations of TPU" in 2027 and beyond
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. Goldman Sachs analysts highlighted that Broadcom's "leadership in AI networking and custom silicon enables the lowest inference cost for its hyperscaler customers," positioning the company to deliver ongoing cost reductions competitive with market leader Nvidia3
. D.A. Davidson analyst Gil Luria noted that while Broadcom typically guides only one quarter at a time, the visibility into results more than a year out indicates significant growth in demand for networking semiconductors and custom AI solutions2
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