Another set of companies to consider looking at is going to be Broadcom and Marvell. And in fact, Marvell also reports this week, later in the week. These companies are more nuanced because Broadcom and Marvell benefit from AI spending, but it also represents one of Nvidia's biggest long-term threats.
Why? Custom silicon. Google, Meta, OpenAI, other hyperscalers, these companies increasingly want AI accelerators designed specifically for their own workloads. Broadcom and Marvell help enable those chips.
So, if Nvidia says overall AI infrastructure spending continues exploding, that's great for both Broadcom and Marvell. But if Jensen starts discussing competitive pressures from custom accelerators, that's another important positive signal for both of these companies.
This is why I own exposure to both sides of the equation. I own Nvidia, AMD, and then Broadcom and Marvell, but position sizing is different for all of them. Nvidia benefits from general-purpose accelerated computing.
Broadcom and Marvell benefits as hyperscalers increasingly design specialized silicon. I don't need to perfectly predict which architecture wins.