Broadcom reported on September 2, 2026 that its AI semiconductor revenue reached $16.7 billion in the third quarter of fiscal 2026, up 221% year over year and 54% from the previous quarter, according to its results release. The quarter ended August 2, 2026. Broadcom ties that demand to two product lines: custom AI accelerators and networking.
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Third-quarter fiscal 2026 figures
| Measure | Q3 FY2026 | Change |
|---|---|---|
| Revenue | $29.6 billion | +86% year over year |
| AI semiconductor revenue | $16.7 billion | +221% year over year, +54% quarter over quarter |
| Semiconductor solutions revenue | $20.8 billion | 70% of revenue |
| Infrastructure software revenue | $8.8 billion | 30% of revenue |
AI semiconductors made up about 56% of total revenue ($16.7 billion of $29.6 billion) and about 80% of the semiconductor solutions segment ($16.7 billion of $20.8 billion), by our calculation from Broadcom’s figures.
CEO Hock Tan said: “Demand for our custom AI accelerators and networking continues to be very strong.”
Fourth-quarter guidance
Broadcom guided to fourth-quarter fiscal 2026 revenue of about $34.8 billion, which it says would be up 93% year over year. It expects AI semiconductor revenue of $21.7 billion, up 236% year over year. “In Q4 the momentum continues, and we expect AI semiconductor revenue to accelerate to $21.7 billion,” Tan said.
Context: Marvell’s custom business
Marvell Technology, which also designs custom chips for data-center customers, reported its second quarter of fiscal 2027 on August 27, 2026, for the quarter ended August 1, 2026. Net revenue was $2.739 billion, up 37% year over year, and data center revenue was about $2.17 billion, up 46%. Marvell’s CEO said the company is “seeing broad-based strength across our Data Center portfolio, including strong demand in Connectivity and a significant acceleration in our Custom business beginning in the second half of fiscal 2027.” Marvell guided to third-quarter net revenue of $3.150 billion, plus or minus 5%.
What it changes
Broadcom’s guidance has AI semiconductor revenue rising by $5.0 billion in a single quarter, from $16.7 billion to $21.7 billion, and its CEO attributes the demand to custom AI accelerators and networking. Marvell, on its own timeline, expects its custom business to accelerate from the second half of its fiscal 2027. Custom accelerators and merchant GPUs are compared in our AI accelerator catalog.
