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Broadcom Posts Record Q1 on AI Orders as Shares Fall 20%

Demand spans custom accelerators from Alphabet to AI start-ups, reinforcing a multi-year buildout.

Overview

  • Broadcom reported fiscal Q1 2026 revenue of $19.3 billion, up 29% year over year, driven by AI hardware.
  • Shares sit about 20% below their all-time high after a broader market sell-off tied to geopolitical tensions.
  • Broadcom’s custom AI accelerators are in high demand from hyperscalers and start-ups, with reported Anthropic TPU orders slated for 2026–2027 delivery and customers said to include OpenAI and Meta.
  • Alphabet’s Ironwood TPU, used to train the Gemini 3 family of models, underscores the shift toward tailored chips that Broadcom helps enable.
  • In data-center networking, Tomahawk 6 is deployed at over 100 Tbps capacity, with Tomahawk 7 planned for 2027 at roughly double the throughput.