The hundred billion client is not OpenAI, does Broadcom have other major clients?
According to reports, the president of Broadcom's Semiconductor Solutions Group officially clarified that OpenAI is not the mysterious $10 billion customer announced in its September financial report. Although Broadcom has indeed reached a partnership with OpenAI to jointly build a custom AI accelerator, the project is expected to be completed in 2029, but this is not the previously rumored $10 billion order. With OpenAI excluded, speculation in the market about the identity of Broadcom's mysterious $10 billion customer has resumed
Official announcement: The $10 billion client is not OpenAI, and market speculation about Broadcom's mysterious client identity will begin anew.
On October 13, according to CNBC, Broadcom's Semiconductor Solutions Group President Charlie Kawwas clearly stated that OpenAI is not the mysterious $10 billion client announced during the company's September earnings call. This clarification puts an end to previous market speculation while sparking a new round of investor interest in the true identity of Broadcom's major client.
According to an article from Jianwen, Broadcom and OpenAI officially announced a cooperation plan on the 13th local time, to jointly build and deploy 10 gigawatt custom AI accelerators. Kawwas stated during a CNBC program alongside OpenAI President Greg Brockman:
"I would love to get a $10 billion order from my good friend Greg, but he has not given me that purchase order yet."
Analysts had previously widely expected OpenAI to be Broadcom's $10 billion new partner, but this speculation was directly denied after the official cooperation plan was announced.
With OpenAI excluded from the list of $10 billion clients, market speculation about this mysterious client's identity will begin anew. Given the current surge in demand for AI chips and Broadcom's leading position in the custom chip field, the identity of the client behind this large order will remain a focal point for investors.
According to a previous article from Jianwen, on September 4 local time, Broadcom President and CEO Hock Tan stated during the earnings call that the company had transformed a potential client into its fourth official custom AI accelerator (XPU) client, securing production orders worth over $10 billion. At that time, insiders confirmed to the media that this mysterious new client was indeed OpenAI.
CNBC reported that Broadcom does not disclose the specific identities of large-scale network clients, but analysts generally believe that Google, Meta, and TikTok's parent company ByteDance are its three major clients.
Broadcom's partnership with OpenAI has lasted for 18 months, and the two parties will begin deploying custom-designed chip racks by the end of next year, with the entire project expected to be completed by 2029.
OpenAI President Brockman stated that by building its own chips, the company can directly embed the experiences learned from creating cutting-edge models and products into the hardware, thereby unleashing new capabilities and levels of intelligence.
This cooperation is part of OpenAI's large-scale AI infrastructure deals. The $500 billion-valued startup has recently signed billion-dollar agreements with AMD, NVIDIA, and CoreWeave to expand computing capacity to meet anticipated demand
