If we stretch the timeline to 3 years, 5 years, or even 10 years.
I think many will realize:
AVGO is not even an AI concept stock.
but it's one of the most crucial infrastructure companies in the AI era.
The AI era has three foundational infrastructures.
First layer: computational power
Represents Nvidia.
Second layer: storage
Represents HBM.
Third layer: connectivity
Represents AVGO.
A lot of folks are focused on GPUs.
But in the future, the real large-scale AI clusters will be.
GPUs are just compute nodes.
Connecting hundreds of thousands of cards.
That’s the real barrier to entry.
There’s no network.
There’s no interconnect.
There are no switch chips.
More GPUs are just expensive scrap metal.
Cloud vendors are all doing the same thing.
Top cloud players like Google, Meta, and AWS,
They're all pushing forward with self-developed AI chips.
The reason is simple:
Costs are too high.
And in the custom ASIC race.
AVGO is almost an unavoidable core player.
Cloud vendors are trying to shake off generic solutions.
AVGO stands to benefit even more.
This is also why management continues to maintain:
Targeting $100 billion in AI revenue by 2027.
Order visibility extends as far out as 2028.
A lot of folks are underestimating the true value of the network.
Over the past few years.
What everyone is discussing the most is:
GPU.
HBM.
But in the coming years.
What might be truly scarce is bandwidth.
When AI clusters upgrade from tens of thousands to hundreds of thousands.
Data transmission is set to become a new bottleneck.
And Broadcom controls the most crucial highways of this era.
More importantly: it doesn’t just have growth.
There's also cash flow.
Many tech companies are just stories.
AVGO has multiple advantages:
✅ High-growth AI business
✅ Leading position in networking and switching chips
✅ Stable software cash flow from VMware
AI is driving growth.
The software is responsible for cash flow.
This combination is rare in tech companies.
Why do I have a long-term bullish outlook on AVGO?
Because it's not just one specific hype.
But it's an essential part of the entire AI ecosystem.
GPUs will upgrade.
Models will iterate.
Hype will rotate.
But connectivity will always exist.
The network is here to stay.
Data transmission will always be relevant.
And AVGO is positioned right here.
In a nutshell,
Short-term fluctuations are just noise.
If AI is the main theme for the next decade.
So AVGO is one of the most underrated core assets in this main theme.
