Artificial Intelligence chip supplier Broadcom sank over 5% after The Information reported that Google was contemplating dropping the company as its supplier of artificial intelligence chips as early as 2027.
The Information reported that Google is looking to design the chips in-house in a bid to billions of dollars in costs annually.
The report added that Google and Broadcom had a standoff between the over the price of the chips and that Google has been working to replace Broadcom with Marvell Technology as the supplier for the chips.
Broadcom is seen as the second-biggest winner from the generative AI boom after Nvidia.
