AVGO

브로드컴
Broadcom Inc. · CIK 1730168
AVGO 리스크 변화 알림 받기
이번 보고서
2026.05 분기보고서
10-Q · 기간 말 2026. 5. 3. · 제출 2026. 6. 9.
비교 기준
2026.02 분기보고서
10-Q · 기간 말 2026. 2. 1.
SEC 원문 ↗
0
새 리스크 항목
1
신규 문단
26
수정 문단
5
삭제
+1%
분량 변화
AI 한국어 요약

한 줄 요약

AI 랙 임대·고객 금융 지원에 따른 보증·백스톱 의무를 "가능성"이 아니라 "이미 발생한 일"로 서술하기 시작했고, AI를 활용한 사이버 위협도 현실화된 위험으로 표현을 높였습니다.

주목할 변화

  • 강화AI 고객 금융 지원: 보증·백스톱이 실제 발생고객사 요구가 "XPU 기반 랙 임대"에서 "회사가 랙을 직접 매입한 뒤 고객에게 임대"하는 구조로 구체화됐습니다. 이에 따른 재무 부담도 "may impose"에서 "have and may impose financial obligations, including backstops or guarantees"로 바뀌었습니다. 부채 항목에도 "we have entered into … financing arrangements where we provide a backstop or a guarantee"가 새로 들어가 실제 체결 사실을 인정했습니다.
  • 강화신사업 모델의 범위 확대기존 "sale or leasing of AI racks"라는 표현이 여러 섹션에서 "business models … that enable our customers to access additional compute capacity"로 넓어졌습니다. 시황 변동 대응("address fluctuating market conditions")도 목적에 추가됐고, 실패 시 영향 범위에 "cash flow"가 더해졌습니다.
  • 강화매출총이익률 압박 범위 확대기존에는 AI 랙 판매·임대만 매출총이익률을 낮출 요인으로 꼽았습니다. 이번에는 "custom AI accelerators or XPUs, network switches and other AI-related products" 전반의 판매가 "compress or lower future gross margin" 요인으로 명시됐습니다.
  • 강화AI 기반 사이버 위협, 가정에서 현실로"may also lead to new … methods of attack"이 "has also led to"로, 지정학적 사이버 위험도 "has increased"로 바뀌었습니다. 대응 실패 시 사업에 중대한 영향이 있을 수 있다는 문장이 새로 추가됐습니다. 소프트웨어 부문에도 "AI … have increased the pace of discovery of vulnerabilities"가 신설됐습니다.
  • 강화수출통제·공급망 위험 지정 확대거래 중단 사유에 공급사·고객이 "become subject to export restrictions or are designated a 'supply chain risk'"인 경우가 추가됐습니다. 보복 조치의 주체도 "foreign government authorities"에서 "government authorities"로 넓어졌고, 그 내용에 "licenses or approvals" 요구가 포함됐습니다. 정부 조사 결과 제품 생산·판매 중단뿐 아니라 제품 "modify" 요구 가능성도 들어갔습니다.
  • 강화고객 수요 불확실성 요인 추가주문 축소 사유에 "changes in their business strategy"가 추가됐습니다. 고객이 데이터센터 전력·용수를 과소평가하는 데 그치지 않고 "be unable to obtain"할 수 있다는 점도 새로 언급됐습니다.
  • [신규/삭제] 채널 파트너 리스크 재구성"Our dependence on channel partners has increased following the acquisition of VMware" 문장이 삭제됐습니다. 대신 채널 파트너가 "may not provide our required contractual terms to our end customers"라는 새 위험이 추가됐습니다.
  • 삭제기업 책임(ESG) 목표 미달 리스크공개한 기업 책임 목표를 달성하지 못하면 평판 훼손·소송으로 이어질 수 있다는 문장("failure to achieve our publicly disclosed corporate responsibility initiatives")이 빠졌습니다.

읽는 법

이번 변경의 중심은 AI 인프라 사업에서 회사가 칩 공급을 넘어 랙 매입·임대와 고객 금융 지원(보증·백스톱)까지 실제로 떠안기 시작했다는 점입니다. 따라서 향후 공시에서 우발채무, 신용 위험 노출, 현금흐름 관련 주석을 함께 확인할 필요가 있습니다. 매출총이익률 압박 요인이 AI 제품 전반으로 넓어진 만큼, 이익률 추이를 해석할 때는 제품 믹스 변화를 함께 고려하는 것이 좋습니다.

원문 비교
  1. 신규Our stock price has been, and may in the future be, volatile and your investment could lose value.
    •announcements of proposed acquisitions, significant innovations, strategic partnerships, joint ventures or capital commitments by us or our competitors;
  2. 수정Risk Factors Summary
    The following material factors, is a summary of the risks and uncertainties, among others, that could cause our actual results to differ materially from historical results and those expressed in forward-looking statements made by us or on our behalf in filings with the SEC, press releases, communications with investors and oral statements. statements, and which are more fully discussed below.
  3. 수정Our business is subject to various governmental regulations. Compliance with these regulations may cause us to incur significant expense and failure to maintain compliance with applicable regulations could adversely affect our business.
    Our business is subject to various domestic and international laws and other legal requirements, including antitrust and import/export regulations, such as the U.S. Export Administration Regulations, and applicable executive orders. These laws, regulations, orders, tariffs, federal policies and other governmental actions are complex, continue to evolve and change frequently with limited notice and generally become more stringent over time. We may be required to incur significant expenses to comply with these legal requirements or respond to governmental actions. In addition, if our suppliers or customers fail or choose not to comply with these legal requirements or governmental actions, become subject to export restrictions or are designated a “supply chain risk,” we may be required to suspend purchasing from such suppliers or selling to such customers, which could damage our reputation and have a material adverse impact on our results of operations. The U.S. government continues to add companies to its restricted entity list and/or technologies to its list of prohibited exports to specific countries and impose licensing and other restrictions or requirements, which have had and may in the future have an adverse effect on our revenue, supply chain and our ability to manufacture or sell our products. These restrictive governmental actions and any similar other measures that may be imposed on U.S. companies by other governments, especially in light of ongoing trade tensions with U.S. trading partners, will likely can limit or prevent us from doing business with certain of our customers or suppliers and harm suppliers, which may materially impact our ability to compete effectively or otherwise negatively affect our ability to sell our products and services. Furthermore, foreign government authorities have proposed and may take retaliatory actions, impose conditions for the supply or sale of products or require the license licenses or other transfer of IP, approvals, which could have a material adverse effect on our business. Uncertainty due to such evolving policies or actions also may disrupt our supply chain or business, and if we are unable to effectively mitigate any adverse impacts from such measures, this could adversely affect our business, financial condition and results of operations.
  4. 수정Our business is subject to various governmental regulations. Compliance with these regulations may cause us to incur significant expense and failure to maintain compliance with applicable regulations could adversely affect our business.
    Our products and operations are also subject to regulation by U.S. and non-U.S. regulatory agencies, such as the U.S. Federal Trade Commission. We have been, and may in the future be, involved or required to participate in regulatory investigations or inquiries from regulatory authorities in Korea, Japan and the European Union into certain of our contracting and business practices, which have and may in the future evolve into legal or other administrative proceedings. The technology industry is subject to intense media, political and regulatory scrutiny, which can increase our exposure to government investigations, regulations, legal actions and penalties. Involvement in regulatory investigations or inquiries can be costly, lengthy, complex and time-consuming, diverting the attention and energies of our management and technical personnel. If any pending or future governmental investigations result in an unfavorable resolution, we could be required to cease the manufacture and sale of of, or modify, the subject products or technology, pay fines or disgorge profits or other payments, and/or cease certain conduct and/or modify our contracting or business practices, which could have a material adverse effect on our business, financial condition and results of operations.
  5. 수정We operate in a highly cyclical semiconductor industry that is undergoing profound change due to AI.
    The semiconductor industry is highly cyclical and is subject to rapid price increase or erosion, wide fluctuations in product supply and demand, constant and rapid technological change and evolving technical standards and product applications. The semiconductor industry is undergoing profound change due to the adoption and proliferation of AI and has experienced a significant upturn, which may not be sustainable. The growth of AI is creating pressure on the semiconductor industry to timely design, manufacture and deliver semiconductor products and solutions to meet customer demand for computing power and AI infrastructure. Some of these AI customers may have constrained resources or capital and may be unable to pay for their required AI infrastructure and/or seek alternative financings financing arrangements or novel or deferred payment models from their vendors and suppliers, which could result in additional credit or customer default risks and may negatively impact our business, financial condition or results of operations. If our AI customers substantially reduce their expansion plans, cancel, reduce or delay their orders, are unable to generate the profit required to offset their spending or are otherwise unable to meet their obligations and we cannot offset the downturn in their business, it could have a material adverse effect on our business, operating results, financial condition and stock price.
  6. 수정A significant reduction in demand from certain customers or loss of one or more of our significant customers may adversely affect our business.
    We have historically depended on a small number of end customers, original equipment manufacturers (“OEMs”), their respective contract manufacturers (“CMs”) and certain distributors for a majority of our business and revenue. For the two fiscal quarter quarters ended February 1, May 3, 2026, sales to distributors accounted for 55% 56% of our net revenue. We believe aggregate sales, through all channels, to our top five end customers accounted for approximately 50% 45% of our net revenue for the two fiscal quarter quarters ended February 1, May 3, 2026. This customer concentration increases the risk of quarterly fluctuations in our operating results and our sensitivity to any material adverse developments experienced by these customers. In addition, some customers may cancel, reduce or delay their orders or decline to purchase from us due to reduced capital expenditure spending, changes in their business strategy, lack of access to sufficient capital, downturn in their business, governmental actions such as being designated a “supply chain risk,” purchases from our competitors or their internal development of competing products or customer-owned tooling.
  7. 수정A significant reduction in demand from certain customers or loss of one or more of our significant customers may adversely affect our business.
    When our semiconductor customers agree to purchase specific quantities of products or source an agreed portion of their product needs from us, such arrangements often include pricing schedules or methodologies that apply regardless of the volume of products purchased, and those customers from time to time may not or do not purchase the amount of product we expect. Moreover, our top customers, including our AI solutions customers, may make and have made greater demands on us with regards to pricing and contractual terms, such as seeking to lease our custom AI accelerators or XPUs or requiring us to purchase and then lease to them full AI racks or systems based on our XPUs instead of purchasing, purchasing these chips or racks directly, as well as alternative financings financing arrangements for such leases or other novel or deferred payment models. As a result, we may not generate the amount of revenue or free cash flow or achieve the level of profitability that we or investors expect under such arrangements. In addition, such arrangements have and may impose financial obligations, including backstops or guarantees, upon us or increase our exposure to credit or customer default risks, and failure to mitigate these risks could negatively impact our business, financial condition or results of operations. The loss of, or any substantial reduction in our sales to, any of our top customers, including our customers for our custom AI accelerators or XPUs or AI racks or systems based on our XPUs, could have a material adverse effect on our business, financial condition, results of operations and cash flows.
  8. 수정A slow or the unsuccessful return on our investments in research and development, expansion of our business strategy or adoption of new business models could materially adversely affect our business, financial condition, cash flows and margins.
    The industries in which we compete are characterized by rapid technological change, new technological developments such as AI and cloud computing, changes in customer requirements, frequent new product introductions and enhancements, short product cycles, including due to AI-generated efficiencies, evolving industry standards, and new delivery methods. methods, and subject to market conditions. To compete successfully in the semiconductor industry, we must continue to develop and respond to technological advancements and requirements, such as low-power lower power consumption, higher bandwidth and large compute clusters, and we have, from time to time, evolved our business strategy and adopted new business models to address the needs and challenges of our customers. customers and market conditions. Failure to successfully develop increasingly advanced technologies, including our custom AI accelerators or XPUs, network switches and other AI-related products, or evolve our business strategy or execute on our new strategies or business models such as those that enable our customers to access additional compute capacity or address fluctuating market conditions, including through the sale or purchase and leasing of AI racks or systems based on our XPUs systems, could impair our competitive position.
  9. 수정A slow or the unsuccessful return on our investments in research and development, expansion of our business strategy or adoption of new business models could materially adversely affect our business, financial condition, cash flows and margins.
    In order to remain competitive, we have made, and expect to continue to make, significant investments in research and development, expand evolve our business strategy and adopt new business models. If we fail to timely develop new and enhanced products and technologies, if we focus on technologies that do not become widely adopted, if new competitive technologies that we do not support become widely accepted, if we are unable to successfully evolve our business strategy or execute on our new business strategies or models such as those that enable our customers to access additional compute capacity, including through the sale or purchase and leasing of AI racks or systems based on systems, or our XPUs, or customers proceed with customer-owned tooling, the demand for our products and solutions such as our custom AI accelerators or XPUs, network switches or other AI-related products may be reduced. To support our new business strategies or models, we may enter into purchasing, leasing or other arrangements with customers or other third-parties that could increase our costs and operational complexity. Slow or unsuccessful investments in our research and development efforts or expansion or modification of our business strategies and models and incurring significant expenses for these actions, would have a negative impact on our business, financial condition condition, cash flow and margins.
  10. 수정Dependence on contract manufacturing and suppliers of critical components within our supply chain may adversely affect our ability to bring products to market, damage our reputation and adversely affect our results of operations.
    During the two fiscal quarter quarters ended February 1, May 3, 2026, approximately 95% of the wafers manufactured by our CMs were produced by Taiwan Semiconductor Manufacturing Company Limited (“TSMC”). We believe our wafer requirements represent a meaningful portion of TSMC’s total production capacity. However, TSMC also fabricates wafers for other companies, including some of our competitors, and could choose or be required to materially prioritize capacity for other customers or reduce or eliminate deliveries to us on short notice. In addition, TSMC has raised, and may in the future raise, their prices to manufacture our wafers.
  11. 수정We purchase a significant amount of the materials, including components, used in our products from a limited number of suppliers.
    Our manufacturing processes and those of our CMs rely on many materials, including memory chips, silicon, gallium arsenide and indium phosphide (“InP”) wafers, copper lead frames, precious and rare earth metals, mold compound, ceramic packages, various chemicals and gases, and other components. During the two fiscal quarter quarters ended February 1, May 3, 2026, we purchased more than three-quarters of our manufacturing materials from five materials suppliers, some of which are single source suppliers. The lead time needed to identify and qualify a new supplier is typically lengthy and there is often no readily available alternative source. We do not generally have long-term contracts with our materials suppliers and substantially all of our purchases are on a purchase order basis. Suppliers have previously, and may in the future, extend lead times, limit supplies, place products on allocation, increase prices, or prioritize supplies for other customers, including with respect to memory chips, any of which could disrupt supply or increase demand in the industry and negatively impact our results of operations and our ability to fully meet our customers’ demand. Additionally, the supply of these materials has been, from time to time, impacted by increased trade tensions between the U.S. and its trading partners, particularly China, and the uncertainty due to evolving trade restrictions. Any such supply constraints could result in loss of revenue opportunities and adversely impact our business, financial condition and results of operations.
  12. 수정Winning business in the semiconductor solutions industry is an unpredictable process that is often lengthy and requires us to incur significant expenses, evolve our business strategy or adopt a new business model, which may negatively impact our results of operations, gross margin or cash flows.
    The timing of design wins is unpredictable and implementing production for a particular design win or multiple design wins at the same time, such as for our custom AI accelerators or XPUs, network switches and other AI-related products, may strain our resources and those of our CMs. Some of our customers who have selected us may also have constrained resources or capital but require immediate availability of our custom XPUs. We have dedicated, and expect to continue dedicating, significant additional resources to evolve our business strategy or execute on our new business strategies or models such as the sale or leasing of AI racks or systems based on our XPUs to those that enable our customers to access additional compute capacity with alternative financings financing arrangements or novel or deferred payment models, which could result in additional costs, expenses, credit or customer default risks, reduced gross margin and cash flows.
  13. 수정Failure to adjust our manufacturing and supply chain to meet customer demand could adversely affect our results of operations.
    We make significant decisions, including determining the levels of business that we will seek and accept, production schedules, levels of reliance on CMs and outsourcing, internal fabrication utilization and other resource requirements, and evolving our business strategy or adopting new business models such as those that enable our customers to access additional compute capacity, including through the sale or purchase and leasing of AI racks or systems based on our XPUs, based on customer requirements or estimates thereof, which may not be accurate and could result in reallocation of resources. Many factors could impact our estimates of customers’ demands, including changes in product development cycles, competing technologies and product releases, new or unexpected end-user products or applications, such as demand for AI-related products and solutions, and changes in business, regulatory regulatory, market and economic conditions. Our customers may also underestimate or be unable to obtain the data center or related power or water capacity needed to address end-user demand, which may impact our ability to timely satisfy their requirements. In addition, where our products are part of larger infrastructure projects like data centers, any supply constraints or availability issues with respect to any one component may impact our revenue or our results of operations. The Creating Helpful Incentives to Produce Semiconductors for America Act could also result in an increase in supply leading to excess inventory and a decrease in average selling prices. If we are unable to timely respond to changes in customer demand or execute on new business strategies or models, this could damage our customer relationships, harm our reputation, prevent us from taking advantage of opportunities and adversely impact our business, financial condition and results of operations.
  14. 수정Our gross margin is dependent on a number of factors, including our product mix, adoption of a new business model, price erosion, level of capacity utilization and commodity prices.
    Our gross margin is highly dependent on our product mix, as well as the timing and amount of our revenue from our semiconductor solutions, software licensing and other products or solutions. In addition, increased competition and the existence of product alternatives, more complex engineering requirements, lower demand, shifts in spending priorities, constrained resources or capital of our customers, supply constraints, unfavorable changes in economic or market conditions, industry oversupply or undersupply, or reductions in our technological lead compared to our competitors, and other factors have in the past and may in the future lead to further price erosion, lower revenue and lower gross margin. The gross margin for our semiconductor solutions has typically been lower than our infrastructure software solutions. The sale of our custom AI accelerators or XPUs, network switches and other AI-related products, including the sale or leasing of AI racks or systems based on our XPUs XPUs, will likely increase our operating margin but compress or lower future gross margin, which would adversely impact our stock price.
  15. 수정Cybersecurity threats or other security breaches, or any other impairment of the confidentiality, integrity or availability of our IT systems, or those of one or more of our corporate infrastructure vendors, could have a material adverse effect on our business.
    Cyber-attacks are increasing in number and sophistication, are well-financed, in some cases supported by state actors, and are designed to not only attack, but also to evade detection. Since the techniques used to obtain unauthorized access to systems, or to otherwise sabotage them, change frequently and are often not recognized until launched against a target, we have in the past been, and may in the future be, unable to anticipate these techniques or to implement adequate preventative measures. The emergence and maturation of AI capabilities may capabilities, including their use by threat actors, has also lead led to new and/or more sophisticated methods of attack, including fraud that relies upon “deep fake” impersonation technology or other forms of generative automation that has increased and may scale up continue to increase the efficiency or effectiveness and frequency of cyber threat activity. The failure to adequately adapt to this new environment or timely procure and deploy necessary mitigation may increase the risk of cybersecurity incidents, which may materially affect our business operations or our financial results.
  16. 수정Cybersecurity threats or other security breaches, or any other impairment of the confidentiality, integrity or availability of our IT systems, or those of one or more of our corporate infrastructure vendors, could have a material adverse effect on our business.
    As a critical vendor in the digital supply chain for both governmental entities and critical infrastructure operators, we and our products may be targeted by those seeking to threaten the confidentiality, integrity and availability of systems supporting essential public services. Geopolitical instability has increased and may continue to increase the likelihood that we will experience direct or collateral consequences from cyber conflicts between nation-states or other politically motivated actors targeting critical technology infrastructure.
  17. 수정We may be unable to maintain appropriate manufacturing capacity or product yields at our own manufacturing facilities, which could adversely affect our relationships with our customers, and our business, financial condition and results of operations.
    We must maintain appropriate capacity and product yields at our own manufacturing facilities to meet anticipated customer demand. From time to time, this requires us to invest in expansion new, expanded or improvements of those improved facilities, which may not be sufficient or in time, to meet customer demand and we may have to put customers on product allocation, forgo sales or lose customers as a result. Conversely, if we overestimate customer demand, we would experience excess capacity and fixed costs at these facilities will not be fully absorbed, which could adversely affect our results of operations. Similarly, reduced product yields, due to design or manufacturing issues or otherwise, may involve significant time and cost to remedy and cause delays in our ability to supply product to our customers, all of which could cause us to forgo sales, incur liabilities or lose customers, and harm our results of operations.
  18. 수정We are subject to risks associated with our distributors and other channel partners, including product inventory levels and product sell-through.
    We sell our products through a direct sales force and a select network of distributors and other channel partners globally. Sales to distributors accounted for 55% 56% of our net revenue in the two fiscal quarter quarters ended February 1, May 3, 2026 and are subject to a number of risks, including:
  19. 수정We are subject to risks associated with our distributors and other channel partners, including product inventory levels and product sell-through.
    We do not always have a direct relationship with the end customers of our products. As a result, our semiconductor products may be used in applications for which they were not necessarily designed or tested. In addition, our channel partners may not provide our required contractual terms to our end customers. If any of the foregoing circumstances occur, it could result in significant liabilities to us, damage our reputation and harm our business, operating results and cash flow.
  20. 수정Failure of our software portfolio to manage and secure IT infrastructures and environments could have a material adverse effect on our business.
    Certain aspects of our software portfolio are intended to manage and secure IT infrastructures and environments, and as a result, we expect these products to be ongoing targets of cyber-attacks. Open source code or other third-party software used in these products could also be targeted and or have flaws or vulnerabilities that may make our software vulnerable to additional security risks not posed by purely proprietary software. Our software portfolio is complex and, when deployed, has contained in the past and may contain in the future errors, defects or security vulnerabilities, some of which were undiscovered before the software was released, installed and used by customers. The complexity and breadth of our technical and production environments, which involve globally dispersed development and engineering teams, increases the risk that errors, defects or vulnerabilities will be introduced and may delay our ability to detect, mitigate or remediate such incidents.
  21. 수정Failure of our software portfolio to manage and secure IT infrastructures and environments could have a material adverse effect on our business.
    AI and other forms of generative automation have increased the pace of discovery of vulnerabilities as well as the effectiveness and frequency of cyber threat activity. Although we continually seek to timely mitigate and remediate vulnerabilities and improve our countermeasures to prevent such cyber incidents, we may be unable to anticipate every scenario and, as a result, certain cyber threats or vulnerabilities have in the past been and may in the future be undetected or unmitigated in time to prevent harm to us or our customers. Additionally, efforts by malicious cyber actors or others could cause interruptions, delays or cessation of our software delivery, or modification of our software, which could cause us to lose existing or potential customers.
  22. 수정Failure to enter into software license agreements on a satisfactory basis could materially adversely affect our business.
    Many of our existing software customers have multi-year enterprise software license agreements, some of which involve substantial aggregate fee amounts. These customers often do not have a contractual obligation to purchase additional solutions and may have the right to terminate. The failure or inability to renew customer agreements of similar scope, on terms that are commercially attractive to us, could materially adversely affect our business, financial condition, operating results and cash flow. In addition, software license the relative volume of our customer agreements under which customers do not have signed with the right to terminate could can cause material variations in revenue recognized in each period and our operating results to fluctuate from time to time.
  23. 수정Competition in our industries could prevent us from growing our revenue.
    The industries in which we operate are highly competitive and characterized by rapid technological changes, evolving industry standards, changes in customer requirements, often aggressive pricing practices and, in some cases, new delivery methods. Competition in these industries continues to increase as existing competitors improve or expand their product offerings, as new competitors, including our customers, enter our markets or as AI continues to advance and be integrated into the markets in which we compete. To remain competitive, we seek to evolve our business strategy or adopt new business models from time to time, such as the sale or leasing of AI racks or systems based on those that enable our XPUs, customers to access additional compute capacity, that may require significant financial resources, which could have a material adverse effect on our results of operations. Moreover, we may offer and have offered alternative financings financing arrangements or other novel or deferred payment models for the leasing of AI racks or systems based on our XPUs to effectively compete, which could have a material adverse effect on our revenue, free cash flow and gross margin and expose us to credit or customer default risks.
  24. 수정The complexity of our products could result in unforeseen delays or expense or undetected defects or bugs, which could adversely affect the market acceptance of new products, damage our reputation with current or prospective customers, and materially and adversely affect our operating costs.
    Highly complex products, such as those we offer, have in the past contained, and may in the future contain, defects and bugs when they are first introduced or as introduced, in new versions, software documentation or when enhancements are released, or their release may be delayed due to unforeseen difficulties during product development. If any of our products or third-party components used in our products, products contain defects defects, flaws or bugs, or have reliability, quality or compatibility problems, we may not be able to successfully design workarounds. Furthermore, if any of these problems are not discovered until after we have commenced commercial production or deployment, we may be required to incur additional development costs and product recall, repair or replacement costs. Significant technical challenges also arise with our software portfolio because our customers are managing more complex, larger cloud infrastructures for more complex computing environments, license and deploy our portfolio across a variety of computer platforms and integrate them with a number of third-party software applications, databases and environments. As a result, if there is system-wide failure or an actual or perceived breach of information integrity, security or availability occurs in one of our end-user customer’s system, it can be difficult to determine which product is at fault and we could ultimately be harmed by the failure of another supplier’s product. Consequently, our reputation may be damaged, customers may be reluctant to buy our products, and we may have to invest significant capital and other resources, which could materially and adversely affect our ability to retain existing customers or attract new customers. As a result, our financial results could be materially adversely affected.
  25. 수정Our substantial indebtedness could adversely affect our financial health and our ability to execute our business strategy.
    From time to time, we require significant expenditures to support our growth and respond to business challenges, and as a result we have additional cash requirements to support the payment of interest on our outstanding indebtedness. As of February 1, May 3, 2026, the aggregate indebtedness was $67,970 $66,720 million. Our substantial indebtedness and the instruments governing our indebtedness could have important consequences including:
  26. 수정Our substantial indebtedness could adversely affect our financial health and our ability to execute our business strategy.
    Furthermore, we have entered into and may enter into other financing arrangements, such as guarantees, arrangements where we provide a backstop or a guarantee to support our strategic initiatives or other corporate purposes, which could increase our fixed obligations, have a negative impact on our financial condition and reduce our financial and business flexibility.
  27. 수정Our stock price has been, and may in the future be, volatile and your investment could lose value.
    •anticipated or actual demand for products used in AI-related solutions, including ASICs such as custom AI accelerators or XPUs and network switches;
  28. 삭제Risk Factors Summary
    The following is a summary of the material risks that could adversely affect our business, operations and financial results.
  29. 문장 삭제We are subject to risks associated with our distributors and other channel partners, including product inventory levels and product sell-through.
    Our dependence on channel partners has increased following the acquisition of VMware.
  30. 문장 삭제We are subject to risks associated with our distributors and other channel partners, including product inventory levels and product sell-through.
    As a result, our semiconductor products may be used in applications for which they were not necessarily designed or tested, and the misuse or failure of our semiconductor products could result in significant liabilities to us, damage our reputation and harm our business, operating results and cash flow.
  31. 문장 삭제Corporate responsibility matters may adversely affect our relationships with customers and investors and increase compliance costs.
    Our actual or perceived failure to achieve our publicly disclosed corporate responsibility initiatives could negatively impact our reputation, subject us to litigation or enforcement actions, or otherwise harm our business.
  32. 삭제Our stock price has been, and may in the future be, volatile and your investment could lose value.
    •announcements of proposed acquisitions by us or our competitors;