Floating Button
Home News Artificial Intelligence

OpenAI-Broadcom agreement sends shares of chipmaker soaring

Dina Bass and Shirin Ghaffary / Bloomberg
Dina Bass and Shirin Ghaffary / Bloomberg • 5 min read
OpenAI-Broadcom agreement sends shares of chipmaker soaring
If you do your own chips, you control your destiny: Broadcom CEO Hock Tan / Photo: Bloomberg
Font Resizer
Share to Whatsapp
Share to Facebook
Share to LinkedIn
Scroll to top
Follow us on Facebook and join our Telegram channel for the latest updates.

Broadcom Inc became the latest chipmaker to forge a blockbuster data centre deal with OpenAI, triggering a rally that added more than US$150 billion to its market value.

In a pact announced Monday, OpenAI agreed to buy custom chips and networking components from Broadcom to help power its artificial intelligence services. OpenAI had already struck deals for data centres and chips that easily top US$1 trillion, and the company plans to spend tens of billions of dollars more on Broadcom chips, according to people familiar with the matter.

The agreement, which follows OpenAI deals with Nvidia Corp and Advanced Micro Devices Inc, is meant to add 10 gigawatts’ worth of AI data centre capacity — a level equivalent to the peak energy demand of New York City.

×
The Edge Singapore
Download The Edge Singapore App
Google playApple store play
Keep updated
Follow our social media
© 2026 The Edge Publishing Pte Ltd. All rights reserved.