Behind the curtain of generative AI breakthroughs and GPU hype, a quieter transformation is taking place. Data center architecture and its prowess have become a fierce battleground as AI models expand in size and demand ever-greater compute power. Today, AI’s performance, scalability and cost are all tied to the choice of network fabric. Broadcom, once known for its dominance in networking and semiconductors, is back on the rise as one of the most consequential players in AI’s infrastructure revolution.
“There’s a shift happening in the market. Today, real AI innovation isn’t just limited to models or the infrastructure—it’s in what connects them,” Ram Velaga, senior vice president and general manager of Broadcom’s Core Switching Group, told Fast Company during the NTT Upgrade 2025 event. “AI is not just about GPUs or compute anymore. It’s about how data moves, power is managed, and how systems scale.”
Founded in 1991 as Broadcom Corporation, Broadcom began as a semiconductor company focused on wireless and broadband communication, operating from a modest Los Angeles garage. A major turning point occurred in 2015 when Avago Technologies acquired Broadcom for $37 billion, leading to Broadcom’s transformation into a global semiconductor and infrastructure technology leader. Avago’s origins trace back to HP’s semiconductor division, linking Broadcom’s current parent company to HP’s semiconductor legacy. Through strategic acquisitions, including ServerWorks in 2001 and VMware in 2023, Broadcom expanded its reach, especially in the data center space.
Its influence is vast, yet often underestimated. The company’s reputation is driven by high-speed Ethernet chips like the Tomahawk series, which are crucial for high-bandwidth networking within data architectures. Now, the 60-year-old semiconductor giant isn’t chasing headlines with ChatGPT-style theatrics. Instead, it’s embracing a less flashy but more foundational role: building the infrastructure for AI developers to scale the technology. Velaga and his team are quietly helping tech giants and hyperscalers (large-scale cloud service providers that offer extensive computing resources) rethink the architecture of their data centers through deeply integrated systems—codesigned chips, bespoke interconnects, and a commitment to Ethernet, even as others in the industry begin to move on.
