Hock Tan said AI compute demand keeps growing at an extraordinary pace, that the $63B financing shows capital is available to fund it, and that Broadcom is uniquely positioned to enable it.
"Fundamentally, the need for AI compute continues to grow at an extraordinary pace," Broadcom President and Chief Executive Officer Hock Tan said in a statement. "This validates that there is capital available to finance such growth and that Broadcom is uniquely positioned to enable it."
Hock Tan said Broadcom targets about $115B AI semiconductor revenue in FY2027 and $230B in FY2028, with customer demand exceeding that, though industrywide supply constraints in leading-edge silicon, substrates and HBM persist.
On an earnings call, Broadcom Chief Executive Hock Tan stated that the company targets AI semiconductor revenue of about $115 billion for fiscal 2027 and $230 billion for fiscal 2028. Tan said customer demand exceeds that outlook, while pointing to industrywide delivery constraints in leading-edge silicon, substrates, and high-bandwidth memory (HBM).
Hock Tan has said Broadcom's AI semiconductor revenue, about $58 billion this year, should roughly double next year and double again the year after.
The chip designer has said it expects AI semiconductor revenue to generate $58 billion this year, which CEO Hock Tan has said should be expected to roughly double next year and double again the year after that.
Hock Tan described OpenAI's Jalapeño accelerator, co-developed with Broadcom, as just the start of a multi-generation roadmap.
just the beginning of a multi-generation roadmap.
Hock Tan told analysts that Broadcom is creating financing pools to help Anthropic and OpenAI deploy high-performance models.
Broadcom , which helps Google develop chips for AI labs, is creating financing pools to help Anthropic and OpenAI deploy high-performance models, CEO Hock Tan told analysts earlier this year.
Hock Tan said the $63 billion financing shows capital is available to fund AI compute expansion and that Broadcom is positioned to enable it.
Broadcom Chief Executive Hock Tan said the transaction showed that capital was available to finance the expansion of AI compute and that Broadcom was positioned to enable it.