How Broadcom’s OpenAI Deal Accelerates Data Center Boom and Reshapes AI Trade
Broadcom’s 10.7% stock surge follows its OpenAI data center partnership for custom inference chips. The deal represents part of OpenAI’s 36GW capacity expansion, equivalent to 18 Hoover Dams. This signals unprecedented growth in AI infrastructure and semiconductor demand.
The artificial intelligence revolution is entering its infrastructure phase, as evidenced by Broadcom’s massive 10.7% stock surge following its OpenAI partnership announcement for custom-designed inference chips. This collaboration, developed over 18 months, represents the latest move in what industry experts are calling the largest industrial undertaking in history, with OpenAI announcing roughly 36GW of data center capacity since January. The scale is staggering—equivalent to 18 Hoover Dams’ worth of power—and signals how the AI trade is shifting from software to critical hardware infrastructure.