Broadcom Inc. (NASDAQ:AVGO) is stepping into a new chapter in its AI journey, securing significant victories with two major AI ASIC programs.

JPMorgan's Harlan Sur highlights that Broadcom has "recently won OpenAI's first and second generation AI ASIC programs," positioning it as OpenAI's fourth major AI ASIC partner.

Alongside this, Broadcom has also added a fifth major AI ASIC customer, both expected to ramp up in 2026, further solidifying its leadership in the AI space.

Why Broadcom? The Power Of Advanced Chip Design

What sets Broadcom apart in the fiercely competitive AI landscape is its state-of-the-art chip technology.

Sur emphasizes that Broadcom's 2nm/3nm AI ASIC reference platform, developed over the past 24 months, played a crucial role in these wins. This platform, which includes the industry's first 3D SOIC (chip stacking) initiatives, "was instrumental in likely winning these two new programs" by maximizing transistor density and performance while lowering power consumption.

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Google, Meta: Strong Pipeline Of AI Revenue

Broadcom's momentum doesn't stop with OpenAI. The company is also ramping up its AI initiatives with tech giants Google's parent Alphabet Inc (NASDAQ:GOOG) (NASDAQ:GOOGL) and Meta Platforms Inc (NASDAQ:META).

Sur notes that Broadcom is on track to ramp Google's next-gen 3nm TPU AI processor by the end of this year, with expected revenues of over $8 billion this year and $10 billion next year.

On Meta, Sur predicts, "Meta will be Broadcom's next multi-billion dollar customer," contributing significantly to Broadcom's AI revenue growth in the coming years.

The Bigger Picture: A $150 Billion AI Opportunity

Broadcom is positioning itself to tap into what Sur describes as a "$150B+ AI semiconductor opportunity over the next 5 years," driven by the strong demand for custom chip designs among large cloud companies and OEMs.

With the AI market growing at an expected rate of 30-40% per year, Broadcom's recent wins with OpenAI and the fifth major customer are set to be key contributors to this massive revenue potential.

As Broadcom continues to secure high-profile AI partnerships and advance its chip technology, it is poised for significant growth in the AI semiconductor market.

With a strong pipeline and a solid revenue outlook, Broadcom remains a key player to watch in the AI space.

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