A pair of landmark AI chip deals with Meta and Google have pushed Broadcom stock within striking
Something significant has been quietly building inside the AI chip race, and Broadcom just made it impossible to ignore. The semiconductor giant’s stock closed at $393 in after-hours trading on Tuesday, April 15, 2026, capping a 21% rally over the past two weeks and putting the company within real reach of its all-time high of $414.61. The catalyst behind the move is not a single headline but a pair of landmark long-term partnerships that cement Broadcom’s position at the center of the artificial intelligence infrastructure buildout.
The two deals — one with Meta running through 2029 and another with Alphabet extending through 2031 — together signal that two of the world’s biggest AI spenders have made a deliberate, long-range commitment to Broadcom as their custom chip partner of choice. For a company that has operated somewhat in the background of the AI conversation relative to names like Nvidia, the announcements represent a meaningful shift in visibility and strategic importance.
What the Meta deal actually means
The expanded partnership between Meta and Broadcom covers the design and supply of custom AI processors built on a cutting-edge 2nm manufacturing process. These chips fall under Meta’s MTIA program — the Meta Training and Inference Accelerator initiative — and will power the ranking, recommendation, and AI inference systems that run across Meta’s family of apps used by billions of people daily.
The scale of the initial commitment is worth pausing on. Meta has pledged more than one gigawatt of computing capacity in the first phase of the arrangement, an amount roughly equivalent to the power consumption of 750,000 American homes. The company described that figure as just the opening stage of what it called a sustained, multi-gigawatt rollout — meaning the current commitment is a floor, not a ceiling.
Beyond the chips themselves, Broadcom’s Ethernet networking technology will also be used to connect Meta’s expanding AI computing clusters, deepening the integration between the two companies across multiple layers of infrastructure. As part of the transition, Broadcom CEO Hock Tan will step down from Meta’s board and move into an advisory role dedicated to custom chip strategy.
Google extends its long-running partnership
The Meta news arrived alongside renewed attention on Broadcom’s existing relationship with Alphabet, which extends through 2031. That agreement covers the development of future generations of Google’s Tensor Processing Units — the custom chips that power Google’s AI and machine learning workloads at scale — as well as the supply of key networking components.
Having Broadcom locked in as a partner through the end of the decade on TPU development carries significant weight. Google has consistently invested in custom silicon as a way to optimize performance and reduce dependence on third-party chip suppliers, and Broadcom’s continued role in that effort underscores just how central it has become to the infrastructure underpinning some of the internet’s most heavily used AI systems.
Together, the Meta and Google deals position Broadcom as a foundational partner for an extended period at precisely the moment when AI capital expenditure is accelerating across the industry.
What Wall Street thinks and what insiders are doing
Not every signal points uniformly upward. Two company insiders have recently trimmed their positions near current price levels — senior executive S. Ram Velaga sold 8,000 shares for approximately $2.96 million, while board member Gayla Delly sold 1,000 shares for roughly $358,310. Insider selling near highs is not uncommon and does not necessarily indicate concern about the company’s direction, but it is a detail worth watching as the stock approaches record territory.
Wall Street’s institutional view remains firmly positive. Broadcom currently holds a Strong Buy consensus rating based on 27 buy ratings and four holds issued over the past three months. The average analyst price target of $464.32 implies approximately 22% upside from current trading levels — suggesting that even after a 21% two-week run, analysts believe the stock has meaningful room left to climb.
With its all-time high of $414.61 now within reach and two of the technology industry’s biggest spenders committed to its chips well into the next decade, Broadcom enters the next phase of the AI era with its position firmly established.
Source: Trader Edge, CoinCentral, published April 15, 2026