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Broadcom Poised to Dominate $50B AI Chip Market by 2028
12 Nov
Summary
- Jefferies names Broadcom as top semiconductor pick for AI
- Broadcom predicted to generate $10B in AI revenue by 2027
- Potential to scale AI revenue to $40-$50B from 2028 onward
As of November 12, 2025, Broadcom Inc. (NASDAQ:AVGO) has emerged as a top semiconductor stock to watch, with analysts forecasting significant growth in the company's AI-related revenue.
Last month, on November 4, 2025, investment firm Jefferies named Broadcom as its "Top Pick" in the semiconductor space, removing Nvidia from this position. Jefferies' analysts, led by Blayne Curtis, believe Broadcom is "at an inflection point" due to the continuously rising demand for AI chips across hyperscalers. The firm predicts that by 2027, Broadcom will generate $10 billion in AI-related revenue.
Furthermore, Jefferies has raised its price target for Broadcom from $415 to $480, labeling the company a "Franchise Pick." The analysts believe Broadcom has the potential to scale its AI revenue to between $40 billion and $50 billion from 2028 onward, solidifying its position as a dominant player in the AI chip market.
This positive outlook for Broadcom comes as no surprise, as the company has a long history of innovation and success in the semiconductor industry. Founded in 1961, Broadcom provides semiconductor devices and infrastructure software worldwide through its Semiconductor Solutions and Infrastructure Software segments.
