AI silicon now accounts for more than half of Broadcom’s revenue. The custom chip designer reported $16.7B in AI semiconductor sales for its fiscal third quarter, which ended August 2, lifting total revenue to a record $29.6B, up 86 percent from a year earlier.
That AI total was up 221 percent year over year and 54 percent from the spring quarter, and the pace is still building. Broadcom guided fiscal Q4 AI semiconductor revenue to $21.7B, a 236 percent jump, on total sales near $34.8B.
Semiconductor solutions, spanning the accelerators Broadcom tailors for hyperscalers plus its networking chips, rose 127 percent to $20.8B. Infrastructure software added $8.75B, and free cash flow reached $13.7B, about 46 percent of revenue.
CEO Hock Tan described demand for custom accelerators and networking gear as very strong. Net income under GAAP climbed 216 percent to $13.1B in the quarter. The report, released September 2, shows how much of the AI buildout now runs on tailor-made silicon rather than off-the-shelf GPUs.
