Broadcom's Surge on Cooling Competition Fears

Investing.com — Broadcom jumped on Tuesday on cooling competition fears as ChatGPT-parent OpenAI is developing its own chip with support from the chip maker and Taiwan Semiconductor, scaling back its ambitions to compete directly with the chipmakers.

OpenAI previously considered an in-house chip through a network of factories, or foundries. But the company now plans to focus on in-house chip design efforts because of the costs and time needed to build a network, the sources told Reuters.

Broadcom Inc (NASDAQ:AVGO) was up more than 3% in recent trading.