Sell AVGO by Dec 22, 2026.

China is reviewing Broadcom $AVGO switch use across state-backed data centers, with preliminary findings suggesting they may account for as much as 90% of installed equipment. This development marks a significant escalation in Beijing’s **"domestic chips for domestic use" campaign**. The preliminary audit findings will likely lead to **informal guidance** directing Chinese state-run firms to scale back or replace their reliance on Broadcom equipment. SASAC is also investigating whether Broadcom leveraged its dominant market share to enforce anti-competitive practices like …