Compute & Networking Semis Cache Up: May 2026

研报英文原文证据摘录

Compute & Networking Semis Cache Up: May 2026

TD SECURITIES (USA) LLC SECTOR NOTE

May 21, 2026

■Semiconductors Compute & Networking Semis Cache Up: May

■Software

Joshua Buchalter, CFA THE TD COWEN INSIGHT

646 562 1303

AI CapEx dollars continue to move higher follow C1Q earnings, with explicit commentary

joshua.buchalter@tdsecurities.com

starting to point to continued growth in 2027. This is likely to underpin strong commentary

Lannie Trieu, CFA entering off-cycle earnings, as exemplified by NVIDIA. Our industry numbers move higher

415 646 7217 across the board amidst ongoing momentum, and we introduce our AI datacenter power

lannie.trieu@tdsecurities.com

forecast flowing off our updated expectations.

Ethan Potasnick

646 562 1425

ethan.potasnick@tdsecurities.com

Sean O'Loughlin, CFA

646 562 1327

sean.oloughlin@tdsecurities.com

Sam Reiff, CFA

312 577 2217

sam.reiff@tdsecurities.com

What We're Seeing In The Supply Chain: Hyperscale CapEx continues to support AI

datacenter buildouts, with all 4 hyperscalers raising estimates collectively; in the past 3

months, consensus hyperscaler CapEx estimates have increased 32%. We note estimates

are calling for another year of CapEx growth in 2027 (Street +18% Y/Y)—a deceleration, no

doubt, but off a much higher 2026 base. In our view, this, along with strong commentary on

improving visibility from our coverage companies, should support sustained growth for semis

through 2027. We think this will not only support accelerator demand, but also other parts

such as CPUs, networking, and power; we point to AMD's recently raised expectations for the

CPU TAM from $60B to $120B in 2030E as an example, and NVIDIA's own $200B TAM (here).

What We're (Parallel) Processing This Month: We adjusted our datacenter silicon and