12:05 PM EDT, 10/13/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

AVGO has announced a multi-year partnership with OpenAI for its custom silicon and networking chips. Racks with AVGO's chips are expected to start in the second half of 2026 and be completed by end-2029. The two parties said they will work together to build 10 gigawatts of AI infrastructure, following comments made by OpenAI in recent weeks. It appears that OpenAI is now chasing over 30 gigawatts of new capacity over the next several years (equates to well over a $1T in spend) when accounting for announced partnerships with chipmakers/cloud partners. Interestingly, it also appears the $10B new customer AVGO announced last month was not OpenAI (President of Semiconductor Solutions alluded to this on CNBC), which was previously the consensus. We continue to believe that AVGO's visibility/pipeline is extraordinary and the company is well-positioned to benefit from the massive AI infrastructure build from existing/new clients, with upside from additional prospects to place large-scale orders in the coming years.