Alphabet's $205 billion capex plan could boost Cipher Digital, Broadcom, and Micron

Industry
โดย The Motley Fool·Read original
Summary · why it matters

Alphabet's projected capital expenditures of up to $205 billion this year are expected to benefit three AI-related companies. Cipher Digital, which builds and leases AI data centers to hyperscalers, stands to gain from increased demand for its co-location model that offers flexibility for custom chips like Alphabet's Tensor Processing Units. Broadcom, the designer of Alphabet's TPUs, will see more sales as Alphabet expands its custom chip business, adding to Broadcom's already strong AI semiconductor revenue that grew 143% year over year. Micron's memory chips, used in TPUs and other AI processors, will also see higher demand, supported by multiyear deals and ongoing supply shortages that boost margins.

Impact on stocks 4

Artificial Intelligence▲ · 3 stocks
Broadcom Inc
AVGO
▲ PositiveDemandrelevance

Alphabet's capex will increase demand for Broadcom's custom TPU chips.

Cipher Mining Inc
CIFR
▲ PositiveDemandrelevance

Alphabet's capex will boost demand for Cipher Digital's AI data center leasing.

Alphabet Inc Class C
GOOG
± MixedCapitalrelevance

Alphabet's own capex plan is mentioned but its impact on Alphabet is not assessed.

Semiconductors▲ · 1 stocks
Micron Technology Inc
MU
▲ PositiveDemandrelevance

Alphabet's capex will increase demand for Micron's memory chips used in AI processors.

Theme Impact 7

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