Broadcom Q4 revenue forecast disappoints; after-hours shares fall ~6%

Broadcom forecast Q4 revenue of $34.8bn, below analysts' average $35.1bn and well under some expectations above $36bn, indicating AI-driven revenue may be ramping slower than investors expected.

NVIDIA's strong guidance last week had boosted market demand assumptions for AI chips.

Broadcom is rolling out custom AI processors to challenge NVIDIA; the business has won some large customers but remains at an early stage.

Competitors Marvell and MediaTek, both supported by NVIDIA, add competitive pressure.

Broadcom shares fell about 6% in after-hours trading.