Broadcom CEO: Generative AI will become a larger component of global GDP.

Jin10 reported on October 14 that Broadcom (AVGO.O) CEO Hock Tan stated that as artificial intelligence becomes more prevalent across industries, it could account for a larger portion of global GDP. Hock Tan noted that the current global GDP is approximately $110 trillion, with about 30% coming from "knowledge-intensive and technology-intensive industries." He continued, "If generative AI is introduced, it will create intelligence in many other aspects of society. As a result, that 30% will rise to 40% of global GDP. This means $10 trillion per year." On Monday, Broadcom announced a formal partnership with OpenAI. Hock Tan stated that OpenAI is one of the few companies at the forefront of foundational model research and development, and pointed out that even as a private company, OpenAI's valuation has reached $500 billion. He added that although Broadcom takes a "smart and pragmatic" approach in business, the company will still look several years ahead, following the phenomenon and wave of generative AI.
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