This understanding directly drove Broadcom's share price to rise 38% in two consecutive trading days, making it the second chip company with a market value of one trillion US dollars. saw such a large increase was when Nvidia announced its performance guidance that exceeded expectations in May last year, and subsequently embarked on the road to a trilliondollar market value.
History is so strikingly similar. There is one thing in common in the narratives of Broadcom and Nvidia, that is, the explosive growth in demand for AI chips , and Nvidia is the "evil dragon" in Broadcom's narrative.
As we all know, Nvidia cards are very expensive and difficult australia phone number list to get. For large cloud service providers, the replacement cost is not as simple as developing their own chips, but the optimization of the total cost TCO of putting computing infrastructure into operation and providing cloud services, which directly affects the competition among cloud service providers.
Therefore, while major technology companies were scrambling for Nvidia chips, they also began to develop their own chips. Google found Broadcom to develop TPU, Amazon and Marvel reached a fiveyear cooperation agreement, and Microsoft has achieved full selfdeveloped "CPU+GPU+DPU" in the past year.