Broadcom reported a robust Q4 and fiscal year 2025, driven by accelerating AI semiconductor demand and strong adoption of VMware Cloud Foundation. The company highlighted record revenue and an unprecedented AI backlog, signaling continued growth momentum into 2026.
- Broadcom announced an unprecedented $73 billion AI backlog, encompassing XPUs, switches, DSPs, and optical components, projected for delivery over the next eighteen months and representing nearly half of the company's total $162 billion backlog.
- The company secured a fifth XPU customer with a $1 billion order for late 2026 delivery, while also confirming a strategic shift towards "system sales" (rack sales) for certain customers, taking full responsibility for entire AI systems.
- Demand for AI networking solutions is surging, with the latest 102 terabit per second Tomahawk six switch, described as the "first and only one of its capability," driving a $10 billion backlog in AI switches and record orders for related DSPs and optical components.