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Broadcom Unveils BCM6865 Chip to Aid Connectivity Devices

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Broadcom (AVGO - Free Report) recently unveiled the BCM6865 product family for optical line termination (OLT) PON MAC devices in an effort to cater to every layer of the network. Notably, the platforms support up to 16 ports of XGS-PON, NG-PON2 or 10G EPON interfaces with throughput, density and price performance.

The latest launch will enhance security and flexibility, and address the growing demand for bandwidth and accelerating workloads (automating processes as required) in real time.

The BCM6865 offers high bandwidth and low latency attributes, which in turn bolsters network performance. With the capabilities to support 1G, 2.5G, and 10G PON networks, it provides deep inspection and multilevel security making it a preferred option for automotive computing architecture and connected vehicles.

Broadcom’s BCM6865 supports IEEE’s (Institute of Electrical and Electronics Engineers) efforts to bring Ethernet speeds to enterprise access points for high-speed networking over unshielded twisted-pair (UTP) cables. The addition of this latest device will enable cost-effective scaling of network bandwidth to enterprise networks. With these offerings, Broadcom attempts to simplify operations through robust data management methods, which bodes well.

The device specification leverages various fundamental technologies in Ethernet standards, enabling faster time to market with minimal research and development efforts from vendors. The new devices are powered by low-power 16nm EPON technology, which will provide full benefits of next-generation 802.3ah MAC/1G Active Ethernet wireless technology utilizing the existing cabling infrastructure.

According to Greg Fischer, senior vice president and general manager at Broadcom, “With its unequaled capability to deliver the density that OLT operators require, along with an open and comprehensive software development environment, we expect the BCM68650 will make a dramatic impact in the appeal of near-term deployment in 10G fiber broadband.”

Broadcom is well poised to capitalize on the fast-growing wired and wireless communications markets, driven by growing demand for more content and bandwidth by connected users, with its cutting-edge solutions. The company’s comprehensive product portfolio facilitates the implementation of high-performance, scalable and appropriate solutions for every environment.

Broadcom Inc. Price and Consensus

 

Broadcom Inc. Price and Consensus

Broadcom Inc. price-consensus-chart | Broadcom Inc. Quote

Portfolio Strength Boosts Adoption

Broadcom is benefiting from strong demand for wireless solutions and expanding product portfolio, which positions it well to address the needs of rapidly growing technologies like IoT and 5G.

Notably, Broadcom dominates the film bulk acoustic resonator (FBAR) filter market along with Qualcomm (QCOM - Free Report) . Broadcom’s expertise in the FBAR technology helps it in enabling smartphones to function more efficiently in the congested RF spectrum.

Per a GrandViewResearch report, the RF components market is projected to hit $45.05 billion by 2025 at a CAGR of 14%. Notably, these factors favor the company’s prospects for the long term.

Moreover, Broadcom’s expanding product portfolio is expected to strengthen presence across high-growth markets, comprising IoT, AI, Automotive, Smart Home and Enterprise. This bodes well for the company.

Zacks Rank and Stocks to Consider

Currently, Broadcom carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader technology sector are Garmin Ltd. (GRMN - Free Report) and Pure Storage, Inc. (PSTG - Free Report) . Both the stocks flaunt a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Long-term earnings growth rate for Garminand Pure Storageis currently pegged at 7.4% and 19.9%, respectively.

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