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Apple Partners with Broadcom for AI Server Chips in Strategic Move Against NVIDIA

Daniel Kim Views  

Apple reportedly partners with American semiconductor giant Broadcom to develop server chips designed for artificial intelligence (AI) processing.

According to The Information, the project involves a chip under development codenamed Baltra.

The chip will be produced using Taiwan Semiconductor Manufacturing Company’s (TSMC) advanced 3-nanometer (N3P) process, with mass production targeted for 2026.

Broadcom is a global leader in semiconductor and infrastructure software solutions. It specializes in designing high-performance semiconductors and software products for diverse industries and is ranked 10th in market capitalization on the New York Stock Exchange.

In May last year, Apple signed a multi-year, multi-billion-dollar agreement with Broadcom to co-develop 5G radio frequency (RF) components and next-generation wireless access technology.

Industry experts view Apple’s initiative to create its own AI chips as a strategic move to reduce reliance on NVIDIA, which currently holds over 80% of the global AI chip market.

At its June Worldwide Developers Conference (WWDC), Apple revealed plans to power AI functionalities using proprietary server chips.

Daniel Kim
content@viewusglobal.com

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