Broadcom CEO Hock Tan stands to receive up to US$600 million in stock rewards if he can drive artificial intelligence (AI) product revenue to US$120 billion by fiscal year 2030.
Bloomberg, citing regulatory filings, reported that if Broadcom's AI product sales reach US$90 billion in fiscal year 2030, Tan will be awarded 610,521 shares of restricted stock, valued at approximately US$205 million at current prices. Should AI sales hit US$120 billion, the reward triples to over US$616 million.
At a recent Goldman Sachs investor conference, Tan confirmed an agreement with the board to remain as Broadcom's CEO through 2030, continuing to lead the company's strategic transformation.
Challenging Nvidia's dominance
Broadcom supplies customized chips designed to challenge Nvidia's dominance in the AI chip market. The company recently released its financial results for the third quarter of fiscal year 2025, ending August 3, 2025. Strong performance from custom AI accelerators, networking, and VMware businesses helped push revenue to a record US$15.95 billion, a 22% year-over-year increase and above market expectations of US$15.83 billion.
Secret customer revealed
During the earnings call, Tan revealed the company had secured a multibillion-dollar order from a confidential customer, expected to generate significant revenue in fiscal year 2026. The Financial Times later cited insiders identifying this customer as OpenAI, with plans to mass-produce AI chips exclusively for OpenAI's internal use starting in 2026.
Article edited by Jerry Chen
