Broadcom Supercharges AI Infrastructure With Next-Gen Chip

Broadcom AVGO announced on Monday that it has begun shipping the Jericho4 ethernet fabric router, a purpose-built platform designed for the next generation of distributed AI infrastructure.

Broadcom built the Jericho4 networking chip to meet the growing demands of hyperscalers like Microsoft MSFT and Amazon.com AMZN as they scale AI infrastructure.

Engineered to connect data centers up to 60 miles apart, Jericho4 accelerates AI workloads by managing massive volumes of network traffic with high-bandwidth memory typically used in GPUs from Nvidia NVDA and Advanced Micro Devices AMD.

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Broadcom designed Jericho4 to interconnect over one million XPUs across multiple data centers, breaking traditional scaling limits with unmatched bandwidth, security, and lossless performance. Together with the Tomahawk 6 and Tomahawk Ultra, Jericho4 completes Broadcom’s comprehensive networking portfolio for HPC and AI.

As AI models grow in size and complexity, infrastructure demands now exceed single data centers’ power and physical limits. To meet these demands, engineers must distribute XPUs across multiple facilities, each equipped with tens to hundreds of megawatts of power.

This shift requires a new class of router optimized for secure, lossless, high-bandwidth transport across regional distances. By leveraging deep buffering and intelligent congestion control, Jericho4 ensures lossless RoCE across 100km+ distances, enabling a truly distributed AI infrastructure that is not limited by power or space at any single site.

Built on a 3nm process, Jericho4 integrates Broadcom’s advanced 200G PAM4 SerDes, offering industry-leading reach. This design eliminates the need for retimers and other additional components, lowering power consumption, reducing costs, and improving system reliability.

Broadcom stock gained close to 29% year-to-date, topping the NASDAQ 100 Index by over 10%, backed by the AI frenzy. Broadcom leads the Application-Specific Integrated Circuit (ASIC) market by designing and manufacturing custom silicon chips tailored for high-performance computing, networking, and storage. The company prioritizes speed and efficiency, delivering advanced solutions that power data centers and specialized computing infrastructure.

Meta Platforms META, Microsoft, and Alphabet GOOGL are driving a $250 billion surge in AI infrastructure through 2025–26, demonstrating their commitment to powering the next industrial revolution. These tech giants are rapidly increasing capital expenditures on data centers, servers, and networking to scale AI development, turning bold ambitions into concrete infrastructure.

Price Action: AVGO stock is trading higher by 0.38% to $298.86 premarket at last check Tuesday.

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