While Nvidia dominates the AI hardware conversation, another chipmaker is quietly powering some of the biggest names in artificial intelligence. According to a report from The Motley Fool, also carried by Yahoo Finance, Broadcom designs custom chips for Google, Meta, Anthropic and OpenAI.
These are tailor-made processors built to a customer's specifications, rather than the general-purpose graphics chips that have made Nvidia a household name. The arrangement places Broadcom at the center of the AI buildout, supplying silicon to companies racing to train and run ever-larger models.
The Motley Fool's piece frames Broadcom as an overlooked bargain. It describes the company as trading at 25 times forward earnings and calls it "the cheapest mega-cap AI stock nobody talks about." In other words, the argument is that Broadcom's stock is relatively inexpensive compared with other large AI-linked companies, despite its central role in the industry.
The sources here are commentary and analysis rather than fresh corporate disclosures, so the framing reflects the publications' investment view, not a company announcement. The specific financial figure and the "cheapest mega-cap" characterization come directly from The Motley Fool.
Why it matters: it highlights that the AI boom rests on more than one chip supplier, and that companies building custom silicon, like Broadcom, may be quietly as essential to the technology's future as the better-known names that grab the headlines.