AI Chips

Broadcom shares rose on significant AI chip deals with Google and Anthropic. The agreements solidify Broadcom’s role in AI, with the Anthropic deal granting substantial computing capacity and the Google partnership ensuring future AI chip production and revenue commitments. These deals boost Broadcom’s stock amid a challenging start to the year, reinforcing analyst optimism and a projected AI chip revenue exceeding $100 billion by 2027.

Samsung Electronics’ stock surged following preliminary earnings guidance predicting a record quarterly profit. Driven by soaring demand for AI chips, particularly HBM, the company anticipates an operating profit of 57.2 trillion won. This exceptional performance, fueled by its memory chip business, highlights Samsung’s strategic success in the AI revolution and its efforts to regain market leadership.

Broadcom has secured significant AI chip manufacturing deals with Google and expanded its partnership with Anthropic. These agreements highlight the intense demand for AI infrastructure to power generative AI models. Broadcom’s role in manufacturing Google’s AI processors and supplying compute capacity to Anthropic positions it as a key player in the rapidly growing AI market.

Despite ambitious AI chip development, Huawei’s external cloud revenue declined 3.5% in 2025, contrasting with competitors’ growth. This occurs as China races for AI self-sufficiency amid U.S. chip restrictions. While overall cloud revenue and R&D investment increased, Huawei’s core ICT infrastructure segment saw slower growth. This lags behind rivals like Alibaba and Tencent, and ByteDance’s rapidly growing AI cloud business.

South Korean AI chip startup Rebellions has secured $400 million in funding, valuing the company at $2.34 billion. The company aims to challenge Nvidia in the AI inference chip market with its Rebel-Quad technology, focusing on energy efficiency and performance. The funding will support expansion into the U.S. market, targeting research labs like Meta and xAI, and prepare for a potential IPO. Strategic investors, including Samsung and SK Hynix, are helping Rebellions navigate memory chip supply challenges.

Arm Holdings is pivoting from IP licensing to chip manufacturing with its new AGI CPU, targeting the booming agentic AI market. CEO Rene Haas projects $25 billion in annual revenue by 2031, a significant leap from current figures, with Meta as the first customer. This strategic shift aims to capture greater value in the AI hardware sector, offering customers more choice and expanding Arm’s addressable market.

Despite a stellar earnings report and surging demand for its AI-critical HBM chips, Micron’s stock has dipped, reflecting the semiconductor industry’s cyclicality and market sentiment. The company faces supply constraints, with demand exceeding production capacity. While analysts are optimistic about robust fundamentals and high gross margins, the market may be factoring in future capital expenditures and potential margin normalization, indicating a cautious outlook after a significant run-up.

Super Micro Computer faces leadership turmoil after co-founder Yih-Shyan Liaw’s indictment for allegedly smuggling AI chips to China. Liaw resigned, while another executive is on leave. The company’s stock dropped 33% amid allegations of circumventing export controls. Super Micro appointed a new acting chief compliance officer and is enhancing its framework. The case highlights regulatory challenges in the AI hardware sector.

Meta unveiled four new custom-designed AI chips, the MTIA family, to optimize its data center infrastructure. This move enhances performance, cost-efficiency, and supply chain diversity, reducing reliance on external vendors. The chips, manufactured by TSMC, are crucial for Meta’s AI expansion and include models for training smaller AI models and accelerating generative AI inference. This strategy mirrors industry trends of in-house silicon development, balancing custom solutions with external GPU partnerships.

Nvidia reported strong earnings, with revenue up 73%, and projected 77% growth for the next quarter. However, its stock dipped due to market concerns about slowing AI infrastructure spending and increasing competition. Major clients like OpenAI and Meta are diversifying their AI chip suppliers, exploring alternatives to Nvidia’s GPUs with offerings from Amazon, Cerebras, AMD, and Google. While Nvidia’s dominance remains substantial, its projected growth rates are expected to decelerate. Despite this, some analysts see Nvidia’s stock as a buying opportunity amidst the evolving AI chip landscape.