(Bloomberg) — Broadcom Inc., one of the world’s biggest chipmakers, predicted that sales tied to artificial intelligence are on track to double this year, helping offset a broader slowdown in technology spending.
Most Read from Bloomberg
Chip revenue from companies building out their AI capabilities could grow to $1 billion per quarter, Chief Executive Officer Hock Tan said during a conference call Thursday that followed Broadcom’s quarterly earnings release. AI-related chip sales could be more than 20% of the company’s total soon, he said.
The outlook suggests that Nvidia Corp. isn’t the only chipmaker benefiting from the AI frenzy. Broadcom’s networking components help direct traffic between computers in giant data centers, and it makes custom chips for some of the biggest cloud computing providers. Those customers have been racing to add more capacity to handle demand for AI services — a trend that helped send Nvidia near the $1 trillion valuation threshold this…
2023-06-01 16:39:35
Post from finance.yahoo.com