Broadcom on Thursday announced a new network switch with a novel on-chip, neural-network inference engine for greater bandwidth for artificial intelligence and machine learning applications. But AVGO stock fell on Thursday.
The Trident 5-X12 chip doubles the available bandwidth and reduces power consumption by 25% compared with its predecessor, Broadcom said in a news release.
The chip's neural-network inference engine called NetGNT enables improved telemetry, security and data traffic engineering, the company said.
NetGNT augments the standard data packet-processing pipeline. The standard pipeline is "one-packet/one-path," meaning that it looks at one packet as it takes a specific path through the chip's ports and buffers. By contrast, NetGNT can be trained to look for different types of traffic patterns that span the entire chip.
Trident 5-X12 is software-programmable, field-upgradable and provides 16 terabits-per-second of bandwidth, which is double that of Broadcom's market-leading Trident 4-X9.
AVGO Stock Is On Tech Leaders List
On the stock market today, Broadcom shares dropped 1.6% to close at 925.73.
On Nov. 20, AVGO stock hit a regular-session record high of 999.87.
Broadcom ranks fifth out of 37 stocks in IBD's fabless semiconductor industry group, according to IBD Stock Checkup. AVGO stock has an IBD Composite Rating of 89 out of 99.
Further, Broadcom is on the IBD Tech Leaders list.
On Tuesday, CFRA Research analyst Angelo Zino raised his 12-month price target on AVGO stock to 1,100 from 975. He rates Broadcom shares as buy.
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