The artificial intelligence investment cycle continues to shape the semiconductor and data center sectors in 2026, with industry earnings expected to more than double year over year, according to LSEG data cited by Reuters.
Nvidia remains the dominant AI chip maker. Quarterly revenue reached $81.6 billion, up 85% year over year, while data center revenue climbed 92% to $75.2 billion. Broadcom is benefiting from custom AI accelerators and networking chips: its second-quarter AI semiconductor revenue surged 143% to $10.8 billion. AMD is Nvidia’s most direct large-scale challenger, with second-quarter data center revenue more than doubling to $6.72 billion.
TSMC generated $40.2 billion in second-quarter revenue and expects 2026 revenue growth slightly above 40% in U.S. dollar terms. The company has also committed to a $52 billion–$56 billion 2026 capex plan. Micron Technology posted record fiscal third-quarter revenue of $41.46 billion, and its data center revenue exceeded $25 billion on an annualized run-rate basis. ASML raised its 2026 sales outlook to €43 billion–€45 billion, reflecting stronger AI-related demand for extreme ultraviolet lithography systems.
Marvell Technology recorded 28% year-over-year revenue growth to $2.42 billion and expanded its custom AI-chip relationship with Google. That agreement could generate up to $120 billion in revenue through fiscal 2033 if performance conditions are met, while Google received warrants potentially worth $12.2 billion.
In the data center space, Equinix now expects 2026 revenue of roughly $10.21 billion to $10.29 billion, up 11%–12%, with adjusted EBITDA above $5.2 billion. Digital Realty raised its full-year funds-from-operations forecast as cloud and generative AI demand strengthened. Vertiv reported second-quarter sales of $3.27 billion, up 24% year over year, and adjusted EPS rose 60%. CoreWeave disclosed a second-quarter revenue backlog of $104.2 billion, while Nebius Group posted revenue of about $575 million, up more than 500% year over year.
Despite the strong momentum, investors are weighing high valuations and heavy AI spending against the ability of these companies to convert demand into sustainable profits and cash flow.
