Quick Summary
- Broadcom established a multi-year partnership with Google for custom AI chip development and supply extending through 2031.
- A separate agreement provides Anthropic with 3.5 gigawatts of AI computing power through Google’s TPU infrastructure, beginning in 2027.
- Anthropic’s annualized revenue reached $30 billion, representing significant growth from $9 billion recorded at 2025’s conclusion.
- Mizuho analysts project Broadcom could generate $21 billion in AI-related revenue from Anthropic during 2026, potentially doubling to $42 billion by 2027.
- The Anthropic agreement aligns with the company’s broader $50 billion investment plan for U.S. computing infrastructure.
Broadcom revealed on Monday that it has entered into a comprehensive long-term partnership with Google focused on developing and delivering advanced custom AI chips along with associated components through the year 2031. This arrangement encompasses next-generation AI rack systems and strengthens an existing collaboration that already sees Broadcom manufacturing Google’s tensor processing units, commonly referred to as TPUs.
$AVGO is up over 3% after saying it signed a long-term deal with $GOOGL to develop and supply custom TPUs for Google’s future generations of AI chips. https://t.co/SBzNpn5Cbq pic.twitter.com/HzrrUhmvYD
— Shay Boloor (@StockSavvyShay) April 6, 2026
Alongside this announcement, Broadcom unveiled an enhanced partnership with Anthropic. This expanded agreement provides the AI company with approximately 3.5 gigawatts of computing infrastructure powered by Google’s TPU technology, scheduled to become operational beginning in 2027.
Neither agreement included disclosed financial terms in the regulatory filing.
These announcements follow earlier statements made by Broadcom CEO Hock Tan during the previous month’s earnings call. Tan indicated that Broadcom was already delivering approximately 1 gigawatt of computing power to Anthropic through Google’s TPUs during 2026. He projected this demand would expand beyond 3 gigawatts by 2027.
Anthropic’s performance metrics support these projections. The company reported that its annualized run-rate revenue has crossed the $30 billion threshold, up substantially from approximately $9 billion recorded at the end of 2025. Additionally, Anthropic disclosed it now serves more than 1,000 enterprise customers, each contributing over $1 million annually — representing a twofold increase from figures reported just two months prior.
Wall Street Projects Substantial Revenue Growth for Broadcom
Analysts at Mizuho, led by Vijay Rakesh, have quantified the potential financial impact of these partnerships on Broadcom’s earnings. Their projections estimate $21 billion in AI-related revenue attributable to Anthropic during 2026, with expectations of that figure reaching $42 billion in 2027. These numbers represent analyst forecasts rather than confirmed contract values.
Anthropic characterized the new deal as part of its comprehensive commitment to channel $50 billion into U.S. computing infrastructure. The company operates its Claude model across diverse hardware platforms, including AWS Trainium, Google TPUs, and Nvidia GPUs. Amazon continues to serve as Anthropic’s principal cloud provider and training infrastructure partner.
The Claude application experienced a notable spike in consumer interest earlier this year when it temporarily claimed the number one position among free applications in the U.S. Apple App Store during February, coinciding with widespread media coverage of a disagreement between Anthropic and the Pentagon.
OpenAI Partnership Expands Broadcom’s Custom Silicon Portfolio
Broadcom has diversified its custom chip development efforts beyond the Google-Anthropic ecosystem. The semiconductor company maintains an active collaboration with OpenAI on custom silicon development.
OpenAI has made commitments to utilize six gigawatts of AMD GPU capacity, with initial deployment of one gigawatt anticipated during the latter half of this year. Both OpenAI and Anthropic maintain substantial dependencies on Nvidia GPU infrastructure accessed through leading cloud service providers.
Broadcom’s stock experienced an approximate 3% increase during after-hours trading immediately following Monday’s partnership announcements.
