Home / Business and Economy / Meta & Broadcom Forge AI Chip Alliance
Meta & Broadcom Forge AI Chip Alliance
15 Apr
Summary
- Meta partners with Broadcom for custom AI chips.
- Broadcom CEO Tan departs Meta's board.
- Nvidia denies acquisition rumors, shares dip.
Meta Platforms Inc. has announced an expanded collaboration with Broadcom Inc. to design and produce custom chips, significantly bolstering the social media giant's artificial intelligence capabilities. This partnership includes a commitment to developing chips that will deliver more than 1 gigawatt of computing capacity, signaling a sustained rollout of advanced AI infrastructure.
As part of this development, Broadcom CEO Hock Tan will be leaving Meta's board of directors. Tan, who joined the board earlier in 2026, will continue to advise Meta and CEO Mark Zuckerberg. Tracey Travis, a former executive at Estee Lauder Companies Inc., is also departing Meta's board.
In related news, Nvidia Corp. has officially denied a report suggesting it was pursuing the acquisition of a large PC company. The rumor had previously caused a rally in the shares of PC manufacturers Dell Technologies Inc. and HP Inc. A spokesperson confirmed Nvidia is not engaged in discussions to acquire any PC maker.
Nvidia, a leader in AI chip manufacturing, invested $70 billion in partners and customers in the fiscal year ending January 2026 to advance AI development. Dell, which manufactures AI servers utilizing Nvidia chips, had predicted approximately $50 billion in revenue from this business in the current fiscal year. Following Nvidia's denial, Dell and HP shares experienced declines in extended trading.
