Nvidia, Broadcom split of $5,000 seen tripling by 2028

The prediction rests on contrasting technical approaches. Nvidia designs general-purpose GPUs, which are flexible and handle many AI workloads. Broadcom partners with hyperscalers and AI labs to design custom AI chips, called application-specific integrated circuits (ASICs), tailored to specific workloads. The author argues the future of AI computing will combine both types, making both companies strong investments. Broadcom's long-term guidance includes $115 billion in AI semiconductor revenue next year and $230 billion in 2028, and the company says it has secured the supply chain to deliver these chips. For Nvidia, the author notes management's tendency to offer conservative guidance and then overdeliver. The calculations apply profit margins and valuation multiples that have been common for these companies in recent history, but the author acknowledges the estimates depend on the growth rates the companies themselves project.