Broadcom's AI chip sales have soared to $16.7 billion in Q3 FY2026, more than triple the year-ago quarter and 54% higher than the previous quarter. The growth is driven by custom XPUs co-designed with six companies, including Google and OpenAI, and Ethernet products that connect them. This represents 56.4% of total company revenue of $29.591 billion.
Broadcom's AI chip revenue grew 221% year-over-year, exceeding analyst estimates. The company has raised its fiscal 2026 AI revenue forecast to $58 billion and projected AI revenue of $115 billion in fiscal 2027 and $230 billion in fiscal 2028. Anthropic and OpenAI are key customers for Broadcom's custom AI chips.
In other news, Nscale has signed a multi-year agreement with Figure to provide computing resources for AI models and robots. The deal includes an initial $3.5 billion commitment, potentially scaling to over $6 billion. Nscale will deploy up to 100,000 Nvidia chips to support Figure's AI infrastructure.
OpenAI has purchased tens of thousands of Mac minis from Apple to train its AI agents, squeezing the supply of these machines. The Mac mini's M1 chip is a powerful tool for AI training. Meanwhile, a study found that AI chatbots often cited outdated information and flubbed basic voting questions.
Key Takeaways
* Broadcom's AI chip sales reached $16.7 billion in Q3 FY2026, driven by custom XPUs and Ethernet products. * Broadcom's AI chip revenue grew 221% year-over-year, exceeding analyst estimates. * Broadcom raised its fiscal 2026 AI revenue forecast to $58 billion and projected AI revenue of $115 billion in fiscal 2027 and $230 billion in fiscal 2028. * Nscale signed a $3.5 billion deal with Figure to provide computing resources for AI models and robots. * OpenAI purchased tens of thousands of Mac minis from Apple for AI training. * AI chatbots often cited outdated information and flubbed basic voting questions. * Anthropic and OpenAI are key customers for Broadcom's custom AI chips. * Broadcom has six XPU customers, with four expected to be particularly large. * The global data center physical security market is expected to reach $10.74 billion by 2030. * Several free AI training courses are available, covering topics such as AI content strategy and AI regulation and law.Broadcom's AI Chip Sales Soar to $16.7 Billion
Broadcom announced AI semiconductor revenue of $16.7 billion in Q3 FY2026, more than triple the year-ago quarter and 54% higher than the previous quarter. The growth is driven by custom XPUs co-designed with six companies, including Google and OpenAI, and Ethernet products that connect them. AI semiconductor revenue represented 56.4% of total company revenue of $29.591 billion. Broadcom's stock slipped 2.7% after the announcement.
Broadcom Wins Anthropic as Custom AI Chip Sales Surge
Broadcom's revenue for the third quarter of fiscal 2026 rose 86% from a year earlier to $29.591 billion. AI chip revenue climbed 221% to $16.7 billion, exceeding analyst estimates. Broadcom raised its fiscal 2026 AI revenue forecast to $58 billion and projected AI revenue of $115 billion in fiscal 2027 and $230 billion in fiscal 2028.
Broadcom Shares Drop 2.7% After AI Sales Miss
Broadcom shares slipped 2.7% due to a 0.7% shortfall in sales, putting its AI-related valuation under scrutiny. The company's AI semiconductor revenue was $16.7 billion, representing 56.4% of overall sales. Non-AI semiconductor revenue reached $4.14 billion, up 4.4% year-over-year.
Broadcom Predicts AI Chip Sales Surge
Broadcom predicts AI chip revenue will double to $115 billion in fiscal 2027 and reach $230 billion in fiscal 2028. The company forecasts Q4 AI semiconductor revenue of $21.7 billion and full-year fiscal 2026 revenue of $58 billion. Anthropic and OpenAI are key customers for Broadcom's custom AI chips.
Broadcom Tripled AI Chip Sales
Broadcom's AI chip revenue grew 221% to $16.7 billion, driven by custom XPUs and networking products. The company has six XPU customers, with four expected to be particularly large. Broadcom's stock fell despite the strong growth due to a 0.7% sales miss.
Nscale Inks $3.5 Billion Deal With Robotics Firm
Nscale signed a multi-year agreement with Figure to provide computing resources for AI models and robots. The deal includes an initial $3.5 billion commitment, potentially scaling to over $6 billion. Nscale will deploy up to 100,000 Nvidia chips to support Figure's AI infrastructure.
Nscale, Figure Commit $3.5 Billion for AI Hardware
Nscale and Figure entered a multi-year strategic partnership to provide compute infrastructure for humanoid robotics. The deal includes an initial $3.5 billion commitment for compute resources, with the intent to scale to over $6 billion. Nscale will become a shareholder in Figure and serve as the company's preferred compute provider.
Data Center Physical Security Market to Reach $10.74 Billion
The global data center physical security market is expected to reach $10.74 billion by 2030, driven by the increasing use of AI analytics, biometrics, and multilayer monitoring. The market is experiencing rapid growth as organizations prioritize data center security.
OpenAI Hoards Mac Minis for AI Training
OpenAI purchased tens of thousands of Mac minis to train its AI agents, squeezing the supply of these machines. Apple's M1 chip, used in Mac minis, is a powerful tool for AI training, but OpenAI's reliance on them may hinder its AI training operations.
Arrive AI to Present at H.C. Wainwright Conference
Arrive AI will present at the 28th Annual H.C. Wainwright Global Investment Conference in New York, discussing its physical AI and autonomous logistics infrastructure solutions.
Best Free AI Training Courses for September 2026
Several free AI training courses are available, covering topics such as AI content strategy, strategic decision-making with generative AI, and AI regulation and law. These courses aim to help individuals develop skills to succeed in the AI era.
AI Chatbots Flub Basic Voting Questions
AI chatbots often cited outdated information and flubbed basic voting questions, according to a study. The chatbots were tested on their knowledge of voting information.
Sources
- Broadcom's AI Chip Sales Hit $16.7 Billion: Custom XPUs and the Real Story Behind Its Financing Deals
- Broadcom Wins Anthropic as Custom AI Chip Sales Surge 221%
- Broadcom Shares Drop 2.7% After AI Valuation Pressured by 0.7% Sales Miss
- Broadcom predicts surge in AI chip sales over next two years
- Broadcom Tripled AI Chip Sales and the Stock Still Fell. Is AVGO the Nvidia Alternative Investors Missed?
- Nscale Inks $3.5 Billion Deal With Robotics Firm Figure
- Nscale, Figure Commit $3.5 Billion for AI Hardware Development
- Global Data Center Physical Security Market to Reach $10.74 Billion by 2030 as AI-Powered Monitoring and Biometric Access Gain Momentum
- OpenAI Is Hoarding Mac Minis for AI Training, and Apple Is Quietly Winning a Race It Never Joined
- Arrive AI to Present at the 28th Annual H.C. Wainwright Global Investment Conference in New York
- Best Free AI Training Courses for September 2026
- Ahead of midterms, AI chatbots flub basic voting questions
Comments
Please log in to post a comment.