For artificial intelligence to begin its next chapter driven by extreme performance, it's going to need more high-performance hardware from Broadcom.

Morgan Stanley issued a forecast suggesting Amazon, Microsoft, Alphabet, and Meta Platforms could spend a combined $300 billion on data center infrastructure and chips to power their artificial intelligence (AI) ambitions during 2025.

"While unwelcome, volatility is common in semi stocks and does not always presage a fundamental shift," Bank of America said.

Marvell and Broadcom are gearing up for earnings reports as AI spending accelerates. Both companies have distinct strategies and stand to benefit.

Bank of America sees Broadcom, Marvell, and Credo driving AI sector momentum with strong earnings and key partnerships

Intel stock surged nearly 16% on Tuesday after a Wall Street Journal report suggested that Broadcom and TSMC were considering potential bids for the renowned chipmaker. Broadcom is said to be eyeing Intel’s chip design businesses,