Broadcom Inc. (NASDAQ:AVGO) isn't just riding the AI wave—it's quietly rewriting its playbook from the Apple Inc. (NASDAQ:AAPL) era, only this time the stakes are far bigger. What looked like another hyperscaler deal with Alphabet Inc. (NASDAQ:GOOGL) (NASDAQ:GOOG) is starting to resemble something more durable: a long-term, expanding revenue engine that could define AVGO's next decade.

From iPhones To AI Factories

JPMorgan analyst Harlan Sur points out that Broadcom's relationship with Apple didn't just begin with supply—it evolved through multiple renewals and upsized commitments as Apple grew more dependent on its RF technology. That same pattern now appears to be playing out in AI.

Broadcom's latest agreements with Google lock in custom TPU development and AI networking infrastructure through 2031, spanning multiple generations of chips.

Sur sees this as more than a contract—it's a design-in runway that extends across the full AI stack, from silicon to connectivity.

Lock-In Over Competition

At a time when investors worry about hyperscalers building chips in-house, Sur argues this deal does the opposite—it cements Broadcom's role. By combining compute silicon with networking components inside Google's AI racks, AVGO isn't just a supplier anymore; it's embedded in the architecture itself.

The same dynamic is emerging with Anthropic, where AI compute commitments are scaling rapidly into multi-gigawatt deployments.

According to Sur, that kind of expansion suggests infrastructure is being built with future demand already in mind, not just current needs.

The Real Shift In Broadcom Stock

The takeaway isn't just growth—it's visibility. Sur believes the Google agreement provides multi-year clarity across Broadcom's highest-value AI businesses, reinforcing confidence in AI revenues surpassing $120 billion by 2027.

If the Apple playbook was about smartphones, this one is about AI infrastructure—and this time, Broadcom isn't just inside the device. It's inside the entire system.

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