CEO Hock Tan Signals Ambitious Growth in the Race to Challenge Nvidia
Broadcom (AVGO) is intensifying its push into the artificial intelligence semiconductor market, with CEO Hock Tan projecting that the company’s AI chip sales could surpass $100 billion annually by 2027. The ambitious forecast marks a significant expansion into a market currently dominated by Nvidia.
Speaking during a recent analyst conference call, Tan said Broadcom has clear visibility toward achieving the milestone and has already secured the supply chain capacity needed to support the growth. The company’s outlook suggests rapid acceleration in AI-related revenue over the next several years.
Broadcom expects AI chip revenue to reach approximately $10.7 billion in the current quarter. In comparison, the company reported about $20 billion in AI sales during 2025. Achieving a $100 billion annual run rate would therefore represent a dramatic expansion driven by rising demand for AI infrastructure and computing power.
The company’s strategy centers on custom AI chips and networking semiconductors designed for hyperscale data centers and artificial intelligence workloads. While Nvidia remains the leading producer of AI accelerators used to train and run large models, Broadcom has positioned itself as a major alternative by developing tailored chips for large technology companies.
Broadcom has already secured partnerships with leading AI developers and cloud companies. These include work on custom chips for OpenAI and Anthropic, as well as collaboration with Alphabet on its tensor processing units (TPUs). The company also continues to expand its relationship with Meta Platforms on next-generation AI accelerators.
Broadcom’s financial performance reflects this momentum. First-quarter revenue reached $19.3 billion, while AI-related sales more than doubled to $8.4 billion. The company also announced a $10 billion share buyback program alongside stronger-than-expected revenue guidance.
Although Nvidia is still projected to generate far greater AI revenue in the coming years, Broadcom’s aggressive expansion underscores the intensifying competition within the rapidly growing AI semiconductor market.
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