Will AI create the world’s first trillionaire?\u00a0Our team just released a report on the one little-known company, called an “Indispensable Monopoly” providing the critical technology Nvidia and Intel both need.\u00a0Continue \u00bb<\/a><\/p>\n Broadcom (NASDAQ: AVGO) is a competitor of Nvidia, operating in a different lane but hoping for the same result. Nvidia’s entry in the AI chip field is its powerful graphics processing units (GPUs), which are flexible enough to handle a variety of AI tasks. It’s what makes them popular, but also extremely expensive — its Blackwell GPUs cost about $30,000 each, and hyperscalers bundle them by the hundreds so they can do complex AI tasks.<\/p>\n Broadcom’s answer is its application-specific integrated circuits (ASICs), which are custom-made to handle the specific workloads of its clients. That means they aren’t as powerful as Nvidia<\/a> chips, but they’re also less expensive because they don’t have all the bells and whistles of GPUs — they just have what the customer needs to train and run their AI programs.<\/p>\n That approach is allowing Broadcom to build its roster of AI chip customers. It has been working with Alphabet to create that company’s Tensor Processing Units (TPUs), which are Alphabet’s in-house alternative to GPUs. Alphabet is now reportedly marketing its TPUs to sell to other companies.<\/p>\n Broadcom has a mammoth $21 billion deal with Anthropic, the AI company that created the Claude large language model, to supply it with nearly 1 million AI chips. Broadcom also has a deal with OpenAI, the maker of ChatGPT, to supply 10 gigawatts worth of custom chips.<\/p>\n Lam Research (NASDAQ: LRCX) is a true pick-and-shovel AI stock. This California company supplies components to foundries that manufacture semiconductor chips, including microprocessors and memory devices. The company develops wafer-processing capabilities that foundries need to fabricate transistors, advanced memory, sensors, and more on chips.<\/p>\n Story Continues <\/p>\n Revenue in the fourth quarter of 2025 was $5.34 billion, up from $4.37 billion a year ago. Net income was $1.59 billion, good for $1.26 per share.<\/p>\n “Entering 2026, our expanding product and services portfolio is enabling the market’s transition to smaller, more complex three-dimensional devices and packages,” CEO Tim Archer said. “With AI accelerating, we are ramping execution velocity across the company to support our customers’ growth and realize our vision for multi-year outperformance.”<\/p>\n Lam supplies the equipment that foundries need, but if you want to invest in a foundry itself, the best choice is Taiwan Semiconductor Manufacturing (NYSE: TSM). The company, better known as TSMC, is the biggest foundry in the world and counts Nvidia, Broadcom, and Apple as major customers.<\/p>\n TSMC’s processes are highly valued by chipmakers because it specializes in making the most advanced chips with the smallest possible transistors. Sixty percent of its revenue in 2025 came from manufacturing 3-nanometer and 5-nm chips, the company said, up from 52% a year ago.<\/p>\n And that expertise means that TSMC’s profits and revenue are on the rise. Net revenue was $122.4 billion in 2025, up 35.9% from a year ago. TSMC was able to run with an operating margin of nearly 51%.<\/p>\n Nvidia unquestionably dominates the AI space and all the headlines. But AI growth benefits multiple players. Investors should take advantage of that.<\/p>\n Through Broadcom’s customized solutions, Lam Research’s components, and TSMC to put it all together, these three companies serve as a small portfolio of AI stocks that offer diversification and stability for your quest to build a million-dollar portfolio.<\/p>\n Before you buy stock in Broadcom, consider this:<\/p>\n The Motley Fool Stock Advisor analyst team just identified what they believe are the\u00a010 best stocks<\/a> for investors to buy now\u2026 and Broadcom wasn\u2019t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.<\/p>\n Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation,\u00a0you\u2019d have $526,889!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you\u2019d have $1,103,743!*<\/p>\n Now, it\u2019s worth noting\u00a0Stock Advisor\u2019s total average return is 947% \u2014 a market-crushing outperformance compared to 192% for the S&P 500.\u00a0Don’t miss the latest top 10 list, available with\u00a0Stock Advisor, and join an investing community built by individual investors for individual investors.<\/p>\n See the 10 stocks \u00bb<\/a><\/p>\n *Stock Advisor returns as of March 5, 2026. <\/p>\n Patrick Sanders<\/a> has positions in Nvidia. The Motley Fool has positions in and recommends Alphabet, Apple, Lam Research, Nvidia, and Taiwan Semiconductor Manufacturing. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy<\/a>.<\/p>\n![\"Smiling](\"https:\/\/www.newsbeep.com\/il\/wp-content\/uploads\/2026\/03\/a8b39cedb66924c5e6342e8b0ced4111.jpeg\")
Image source: Getty Images. <\/p>\n