Broadcom Valuation Soars Past $1 Trillion on AI Sales Boom
- Company sees massive opportunity over next three years
- AI revenue reached $12.2 billion in latest fiscal year
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Broadcom Inc., a chip supplier for Apple Inc. and other big tech companies, surged to a $1 trillion market valuation for the first time after predicting a boom in demand for its artificial intelligence chips.
Sales of AI products will gain 65% in the fiscal first quarter, far faster than its overall semiconductor growth of about 10%, the company said during a post-earnings conference call. The chipmaker also predicted that the addressable market for AI components that it designs for data center operators would reach as high as $90 billion by fiscal 2027.