Broadcom Locks In Apple Chip Supply Through 2031

Broadcom just secured a long haul with Apple. The semiconductor giant will supply custom ASIC silicon products until 2031.

This deal extends their existing partnership, which already spans multiple Apple device components. Broadcom’s chips power everything from cellular connectivity to Wi-Fi and Bluetooth in iPhones.

Apple still builds its own processors with TSMC—think A-series and M-series chips—but it leans on Broadcom for complex custom silicon it doesn’t want to develop internally. Despite Apple’s push for proprietary tech, Broadcom remains indispensable.

Apple accounts for about 20% of Broadcom’s annual revenue, underlining the strategic importance of this relationship. The two companies also inked a separate multi-billion-dollar deal in 2023 focused on 5G radio frequency components, including FBAR filters.

FBAR filters come from Broadcom’s Fort Collins, Colorado plant and other U.S. sites. These tiny parts play a big role in 5G performance—something Apple clearly values.

The chip market is brutal right now. Demand for advanced silicon, especially for AI inference, has pushed foundries like TSMC to their limits. Nvidia and other AI hardware makers are hogging capacity, creating supply pressures.

Apple CEO Tim Cook confirmed in April 2026 that these bottlenecks have impacted iPhone sales. That makes Broadcom’s assured supply even more critical.

Broadcom’s business reflects this demand surge. For the quarter ending May 3, 2026, it reported $22.18 billion in revenue—a 48% jump year-on-year. GAAP net income soared 88% to $9.3 billion.

Looking ahead, Broadcom expects around $29.4 billion in revenue for Q3 2026. Non-GAAP operating income should hit roughly 67% of revenue, with adjusted EBITDA near 68%. Those are healthy margins for the chipmaker.

Broadcom is also expanding deals beyond Apple. In 2026, it signed agreements with Google for next-gen tensor processing units and with Anthropic for computing capacity starting 2027. It even partnered with OpenAI to launch the Jalapeño Intelligence Processor that year.

Apple’s renewed commitment to Broadcom confirms a simple truth: when it comes to complex custom silicon, some partnerships are too valuable to break. Broadcom’s specialized components remain a cornerstone for Apple’s device ecosystem through the end of this decade.

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