New York, Jan 8, 2026, 16:37 EST — After-hours
- Broadcom (AVGO) fell about 3% in late trading, tracking a tech-led pullback
- A term sheet showed Broadcom priced $4.5 billion of senior notes, with proceeds aimed at debt repayment and general purposes
- Investors are eyeing Friday’s U.S. payrolls report and signs of demand for AI-linked chips and networking gear
Broadcom Inc shares fell 3.2% to $332.48 in after-hours trading on Thursday, after sliding to an intraday low of $330.52. The stock opened at $343.25 and briefly touched $343.50 before sellers pushed it lower.
The move matters because Broadcom has become a popular proxy for AI data-center spending and the plumbing around it — custom chips, networking and the software stack that runs on top. When traders cut exposure to that theme, Broadcom often lands in the first wave.
Wall Street ended mixed as technology names dipped, with the Nasdaq closing down 0.44% and the S&P 500 barely changed, while the S&P 500 tech index fell 1.5%. “While AI is still hot, there are going to be winners and losers,” said Art Hogan, chief market strategist at B. Riley Wealth, as investors looked ahead to Friday’s U.S. nonfarm payrolls report for December. Reuters
The pullback ran through chip stocks. Nvidia was down 2.1% in late trading, while the iShares Semiconductor ETF fell 1.7% and the VanEck Semiconductor ETF slipped 1.6%.
Broadcom also put fresh paper on the market this week. A free-writing prospectus filed with the SEC showed it priced $4.5 billion of senior notes — corporate bonds — across four maturities, with coupons ranging from 4.3% to 5.7% and settlement expected on Jan. 13. Broadcom said it expects net proceeds of about $4.47 billion and plans to use the money for general corporate purposes and to repay debt. SEC
Separately, Broadcom used CES in Las Vegas to push deeper into what it calls “AI-ready” home connectivity. It announced a unified Wi‑Fi 8 platform built around its BCM4918 accelerated processing unit — a system-on-chip meant to offload networking tasks and run AI inference, or model outputs, on the device — alongside two new dual-band Wi‑Fi 8 radios. “Wi‑Fi 8 represents a turning point for the industry—where broadband, connectivity, compute, and intelligence truly converge,” said Mark Gonikberg, a senior vice president and general manager at Broadcom. Nasdaq
Early adopters may still have to wait. Tech outlets said Broadcom has started sampling the chips to early customers, with consumer products expected by the end of 2026, even as Wi‑Fi 8 puts more emphasis on reliability and lower latency than raw peak speed. The Verge noted the IEEE’s Wi‑Fi 8 standard is not expected to be finalized until 2028, meaning early hardware will lean on draft specifications. Tom’s Hardware
Competition is not easing. Marvell said on Tuesday it would buy networking equipment firm XConn Technologies for $540 million as it tries to deepen its AI infrastructure lineup, after a year of pressure from larger rivals in chips and data-center networking. Reuters
But the bigger risk for Broadcom bulls has not gone away: margin math. “We expect first-quarter consolidated gross margin to be down approximately 100 basis points,” CFO Kirsten Spears said in December — about a 1 percentage point drop — as a higher mix of AI revenue weighs on profitability. Reuters
With the regular session over, traders will go into Friday watching whether the stock holds the $330 area after Thursday’s low, while macro desks focus on the Jan. 9 payrolls report. Broadcom’s next earnings are currently estimated for early March, according to MarketBeat. Marketbeat
