Nvidia has achieved a $4 trillion market cap and holds over 90% of the GPU market, dominating AI infrastructure. However, its growth may begin to slow due to its size.
In contrast, Advanced Micro Devices (AMD) and Broadcom are positioned for significant growth opportunities in AI. AMD reported $3.7 billion in data center revenue last quarter, while Nvidia’s was $39.1 billion. Both companies have the potential for explosive growth by taking market share, particularly in AI inference and ASICs, as demand for high-performance chips continues to rise.
Broadcom’s AI networking revenue surged by 70%, and it expects its custom chip customers to deploy up to 1 million chips each by fiscal 2027, representing a $60 to $90 billion opportunity. Given the favorable growth outlook, both AMD and Broadcom are anticipated to outperform Nvidia over the next five years.
