Home / Business and Economy / AI Giants Nvidia and Broadcom Poised to Soar in 2026
AI Giants Nvidia and Broadcom Poised to Soar in 2026
16 Nov
Summary
- Nvidia maintains over 90% GPU market share in AI infrastructure
- Broadcom helps hyperscalers develop custom AI chips, a $60-90B opportunity
- AI spending continues to surge, driving sales for these tech leaders
As 2025 winds down, the market continues to be led by companies tied to artificial intelligence (AI). In particular, two tech giants have emerged as the top investment picks in the AI infrastructure space: Nvidia and Broadcom.
Nvidia (NASDAQ: NVDA) has firmly established itself as the market leader in AI infrastructure, with its graphic processing units (GPUs) commanding an incredible over 90% market share. The company's data center revenue has surged nearly fourfold over the past two years, and with AI spending continuing to ramp up, Nvidia is poised to see its sales keep soaring. The company's advantage lies not just in its hardware, but also in its CUDA software platform, which has become the standard for early AI code, and its proprietary NVLink interconnect system that keeps customers from mixing and matching chips.
Another key player in the AI infrastructure market is Broadcom (NASDAQ: AVGO). The company has become a go-to partner for hyperscalers (large data center operators) looking to reduce their reliance on Nvidia. Broadcom has helped companies like Alphabet design their own custom application-specific integrated circuits (ASICs) for AI workloads, a market opportunity that could be worth $60 billion to $90 billion by Broadcom's fiscal 2027. This represents a significant growth opportunity for the company, which is currently on track to generate just over $63 billion in revenue this fiscal year.
As the AI revolution continues to unfold, these two tech giants are well-positioned to capitalize on the growing demand for AI infrastructure in the coming year and beyond.
