Broadcom Lands Expanded Apple Chip Deal Through 2031

 Broadcom (NASDAQ: AVGO) just deepened one of the most closely watched relationships in tech. In a Monday SEC filing, the chipmaker confirmed it will design and supply custom application-specific chips for Apple (NASDAQ: AAPL) under an expanded partnership that now runs through 2031.

 The two companies already had a multi-year deal dating back to 2023, which focused on 5G radio-frequency and wireless connectivity components. This new agreement pushes further into compute-oriented silicon — though Broadcom disclosed neither the financial terms nor whether the chips will power devices, data centers, or something else entirely.

Why Analysts Care

Wedbush read the move as another clear win for Broadcom’s custom-silicon franchise. Beyond simply adding a marquee customer, analysts there framed it as fresh validation of how valuable in-house chip design has become as AI accelerates hardware innovation across the industry.

The Bigger Picture

Notably, this deal fits a broader pattern on both sides. Apple continues to diversify its chip supply chain beyond longtime manufacturing partner TSMC (NYSE: TSM), having recently agreed to design and build chips domestically with Intel (NASDAQ: INTC). Meanwhile, Broadcom has stacked up custom-silicon wins throughout the year, expanding AI-infrastructure work with Meta (NASDAQ: META), producing AI chips for Alphabet’s (NASDAQ: GOOGL) Google, and growing its collaboration with AI startup Anthropic.

Market Reaction

Investors responded quickly. Broadcom shares climbed more than 4% intraday, while Apple added roughly 1.4% on the session.

Source: Broadcom to Supply Chips Under Expanded Partnership With Apple, MT Newswires