Notable AI hardware wins include Ironwood TPU v7 with Anthropic and Google, Google TPU v8i, and OpenAI’s Jalapeno accelerator rollout.

AI semiconductor revenue surged 221% year over year to $16.7 billion, now comprising 56% of total revenue and up from 49% in the prior quarter, as the AI hardware boom continues to dominate the mix.

Fiscal 2026 AI revenue outlook was raised to $58 billion, about 186% above the prior year, reinforcing confidence in AI-driven growth beyond the current guidance.

Semiconductor Solutions hit a record $20.8 billion in revenue, up 127% YoY and accounting for 70% of company sales, with a 61% segment margin driven by XPUs and AI hardware.

Deployment roadmaps with Anthropic and OpenAI point to gigawatt-scale AI infrastructure through 2028, underpinning demand for Ironwood, TPU v8i, Jalapeno, and future accelerators.

Broadcom expanded its Google partnership to co-develop and supply next-generation TPU and AI networking, with multi-billions in annual TPU deployments planned.

Broadcom delivered a highly upbeat Q3, signaling a historic AI-fueled expansion with record revenue, profits, cash flow, and visibility into AI demand through 2028, even as margins face pressure and supply-chain bottlenecks.

Q4 AI revenue is expected to accelerate to $21.7 billion, up 236% YoY, with XPU and AI networking revenue forecast to triple YoY.

Long-term AI growth trajectory through 2028 targets semiconductor AI revenue near $230 billion, with potential 2028 EPS above $30.

Custom accelerators, notably XPUs, drove the AI mix shift; XPUs represented 73% of AI revenue, with six large XPU customers contributing $16.7 billion—more than triple prior levels.

Q3 revenues reached $29.6 billion, up 86% YoY, with operating income of $20.1 billion (up 92%) and free cash flow of $13.7 billion, about 46% of revenue.

Operating margin expanded to 67.9% of revenue, and non-GAAP EPS rose 96% YoY to $3.32 driven by operating leverage across the business.