Daily Alpha · Substack
· Premarket Alpha · by Buzzberg Research
A detailed Broadcom note argued that networking demand is broad enough for multiple architectures even as laser scarcity supports suppliers.
Themes on this desk
Revenue duration
Broadcom's secured-supply guidance implies exceptional AI revenue duration, with margins and physical deployment now the key tests.
Laser scarcity
The article treats Broadcom's statement that EML and CW laser demand exceeds supply as direct validation for optical suppliers.
Coexistence of networking architectures
Broadcom's roadmap indicates that copper, pluggable optics, NPO, and CPO will scale simultaneously rather than cannibalizing each other, as they serve different distance and power requirements.
Validates continued demand for pluggable optics and copper interconnects even as advanced packaging like CPO gains traction.
Watch Revenue contribution from NPO and CPO relative to traditional pluggable modules.
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