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Broadcom’s $115 Billion AI Engine — Google, OpenAI & Meta Fuel The Surge!

Broadcom Inc. reported robust financial results for the third quarter of fiscal year 2026, driven primarily by exponential growth in its AI semiconductor business. Consolidated revenue reached a record $29.6 billion, marking an 86% increase year-over-year, while operating income rose 92% to $20.1 billion, with operating margins achieving a record 68%. AI semiconductor revenue notably surged 221% year-over-year to $16.7 billion, representing 56% of total revenue and up from 49% in the previous quarter. This growth was supported by significant deployments of custom AI accelerators (XPUs) for industry-leading customers such as Google, Anthropic, OpenAI, and Meta. Broadcom detailed shipments of its Ironwood TPU v7, TPU v8i, and OpenAI’s Jalapeno accelerators, and highlighted substantial market traction for its advanced Ethernet switches, particularly the Tomahawk 6 and the recently taped out Tomahawk 7, which targets cutting-edge networking bandwidth demands aligned with AI workloads.