Broadcom Inc. (NASDAQ:AVGO) is one of the best AI enabler stocks to buy now.
The latest AI infrastructure angle came on May 11, when SDxCentral reported that Blackstone and Apollo Global Management were in talks with Broadcom Inc. (NASDAQ:AVGO) over a financing deal of about $35 billion to support the company’s AI chipmaking buildout. The report, citing Bloomberg, said the transaction could become one of the largest private credit deals ever, underscoring how capital-intensive the custom AI silicon race has become.
Posonskyi Andrey/Shutterstock.com
The financing talks fit a broader shift in Broadcom’s role in the AI supply chain. SDxCentral noted that Broadcom had recently secured sizable custom silicon deals with Meta and Google, while OpenAI has also been working with the company on custom accelerators after a deal signed last October. The report also said Anthropic was revealed as the mystery customer behind a $10 billion custom-chip deal, with the Google arrangement involving Anthropic tapping TPU capacity built by Broadcom and Google.
That makes Broadcom a strong AI enabler because it sits at the layer where major AI companies and hyperscalers are trying to secure custom compute capacity rather than just buy general-purpose accelerators off the shelf.
Broadcom Inc. (NASDAQ:AVGO) designs, develops, and supplies semiconductor and infrastructure software solutions, including custom AI accelerators, networking chips, broadband products, storage connectivity, wireless components, cybersecurity software, and private cloud infrastructure software.
While we acknowledge the potential of AVGO as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: 33 Stocks That Should Double in 3 Years and Cathie Wood 2026 Portfolio: 10 Best Stocks to Buy.
Disclosure: None. Follow Insider Monkey on Google News.
Disclaimer : This story is auto aggregated by a computer programme and has not been created or edited by DOWNTHENEWS. Publisher: finance.yahoo.com
