Broadcom as key Nvidia supply chain partner

Key analysis of Nvidia CEO Jensen Huang's resignation: 1. Short-term negative sentiment exhausted: For the stock market, this may represent a one-time exhaustion of short-term negative sentiment. Jensen Huang has now completely severed ties with Nvidia. Consequently, the impact on Nvidia's stock price from potential congressional summons and subsequent investigations is expected to be relatively limited. Regarding the impact of Huang's post-resignation activities on Nvidia, it is still premature to draw conclusions before the investigation results are released. 2. Google TPU emerges as the most intuitive beneficiary: Amid uncertainty regarding Nvidia's succession, Google TPU may have the opportunity to further gain trust from customers and the supply chain. Its core partners, MediaTek and Broadcom, could become the focal point of the short-term market. 3. Succession impacts likely to emerge by 2028: Currently, CFO Colette Kress is serving as interim CEO. The subsequent formal handover to a permanent CEO and corresponding organizational reforms are expected to begin impacting Nvidia's product development and competitiveness as early as 2028. 4. Capacity reservations and specification upgrades remain supply chain research focus: Huang's product strategy has two major aggressive impacts on the supply chain: "capacity reservations" and "specification upgrades." Moving forward, close attention must be paid to any changes in the supply chain's expansion and new technology development, as these are core factors supporting Nvidia's high P/E ratio. 5. Chinese demand and export controls: The proportion of Nvidia's revenue from AI chips ultimately flowing to buyers in China may be higher than previously stated in official public disclosures. Therefore, some investors worry that Nvidia's revenue will decline significantly following stricter U.S. government export controls. However, end-user demand in China will not disappear due to these controls. Even if export regulations tighten, as long as resale channels exist overseas, Chinese buyers may still absorb the premium and indirectly acquire Nvidia chips or cabinets.