<span>STORY: Broadcom stock rose more than 5% on Thursday morning after the company predicted AI chip sales to exceed $100 billion next year, marking a rapid share gain in a market dominated by Nvidia.</span><span>Big Tech’s efforts to secure the vast computing power needed for artificial intelligence have given Broadcom a jump in the data center infrastructure race as it helps design custom processors that serve as replacements for Nvidia’s pricey chips.</span><span>The company expects strong demand from customers such as Meta Platforms and Anthropic, with customer commitments equivalent to the power needs of more than 8 million U.S. households, analysts said.</span><span>:: Nvidia</span><span>This brings Broadcom closer to the size of recent AI chip deals between Nvidia and AMD, as the rise of custom processors increasingly threatens Nvidia’s stronghold in the advanced data center infrastructure market.</span><span>Both Broadcom and Nvidia have seen their stock prices fall so far this year as investors worry about whether their big spending on AI will generate enough revenue to justify their lofty technology valuations.</span><span>:: Broadcom</span><span>CEO Hock Tan also assured investors that the company is well-positioned as memory chip supply shortages prevail and AI processor maker TSMC’s production capacity is limited.</span>
