Few companies will go through as much of a transformation as Broadcom (NASDAQ: AVGO) will over the next year.
Currently, it’s a large tech company with countless products under its roof, but one is about to become far more important than any other offering: custom AI chips
Broadcom (and the market) are incredibly bullish on this capability, and the company could become a $100 billion business next year. Considering that Broadcom’s revenue over the past 12 months was $68 billion and custom AI chips were only a fraction of that total, everything is about to change for Broadcom, and now is the perfect time to buy. Custom AI chips are rising in popularity Nvidia (NASDAQ: NVDA) currently dominates the AI computing market.
Its GPUs are well known to be the best general-purpose chips available, and there’s not much that will change that in the future. However, GPUs are expensive and not cheap to run. This stems from the fact that they are designed to run a wide variety of workloads.