Good news has run its course; now it’s time for bad news. #avgo
The China State-owned Assets Supervision and Administration Commission is conducting a fact-finding survey into SOE data centers’ use of Broadcom high-end switches. The market is concerned that this may later drive domestic substitution and restrict procurement. However, there is currently no formal ban. This is considered a potential policy negative, but it has not yet escalated into a substantive business blow.
The China State-owned Assets Supervision and Administration Commission is conducting a fact-finding survey into SOE data centers’ use of Broadcom high-end switches. The market is concerned that this may later drive domestic substitution and restrict procurement. However, there is currently no formal ban. This is considered a potential policy negative, but it has not yet escalated into a substantive business blow.
