Broadcom(US:AVGO) Di Yi Cai Jing·2025-09-05 14:43Core Viewpoint - Broadcom's stock surged over 14% following news of its collaboration with OpenAI to design AI chips, alongside a strong financial performance in its latest quarterly report [2][3]. Financial Performance - For the third quarter of fiscal year 2025, Broadcom reported revenue of $15.952 billion, a 22% year-over-year increase, and a GAAP net profit of $4.14 billion, compared to a net loss of $1.875 billion in the same period last year [3]. - Semiconductor solutions revenue reached $9.166 billion, up 26% year-over-year, while infrastructure software revenue was $6.786 billion, a 17% increase [3]. - AI-related revenue for the quarter was $5.2 billion, reflecting a 63% year-over-year growth, with expectations for AI semiconductor revenue to reach $6.2 billion in the fourth quarter, marking 11 consecutive quarters of growth [3]. AI Business Development - Broadcom's CEO highlighted the ongoing growth in AI-related business, with significant investments from clients leading to record revenues [3]. - The company anticipates three clients will deploy clusters of 1 million AI accelerator chips each by 2027 for training advanced models, with four additional potential clients in discussions for custom chip development [3]. - A new potential client has placed a confirmed order, contributing to over $10 billion in AI chip orders, which is expected to significantly enhance Broadcom's AI revenue in fiscal year 2026 [3]. Collaboration with OpenAI - Broadcom is reportedly assisting OpenAI in designing and producing an AI chip, with plans for mass production next year, although OpenAI has not confirmed this information [4]. - Previous collaborations between OpenAI and Broadcom have been noted, including partnerships with TSMC for AI chip manufacturing [4]. Competitive Landscape - NVIDIA reported a revenue of $46.743 billion for its second quarter of fiscal year 2026, a 56% year-over-year increase, but its data center revenue fell slightly short of market expectations, leading to a 2% drop in its stock price [4].