Intel's Contract Business Hit, Broadcom Eyes TSM

DividendWave
09-05

" $Intel(INTC)$ contract manufacturing business has suffered a setback after tests with chipmaker $Broadcom(AVGO)$ [...], dealing a blow to the company's [Intel] turnaround efforts"

AVGO incentive. 90% of FY23 wafers were fabbed by $Taiwan Semiconductor Manufacturing(TSM)$

A smartphone with a displayed Intel logo is placed on a computer motherboard in this illustration taken March 6, 2023. REUTERS/Dado Ruvic/Illustration/File PhotoA smartphone with a displayed Intel logo is placed on a computer motherboard in this illustration taken March 6, 2023. REUTERS/Dado Ruvic/Illustration/File Photo

TSM produced 90% of AVGO wafer in FY22 and FY23

Increasing trend over the years (see tweet)

Broadcom would have a meaningful incentive to reduce this concentration risk. Cost and security of supply via geopolitical risk among others

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AVGO reports after close on Thursday 5th

Infrastructure software - to keep benefitting from $VMware(VMW)$ integration

Semiconductor solutions - will there be any upside demand to the low/mid single digit growth seen over past 4 quarters?

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https://x.com/DividendWave/status/1830584197674922029

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