BATMMANN Stocks: Is the MAG7 Era Over?
Broadcom is now valued over $1T and some consider it to be the "other NVIDIA" (AVGO + NVDA might be a semiconductor-sector duopoly)
With Broadcom’s valuation skyrocketing recently above $1T due to AI-related revenues growing faster than expected, some think it should be included when referencing the biggest 7 tech giants (collectively known as the “MAG7”).
Months ago, headlines in Fortune read “Broadcom knocks Tesla out of the MAG7” (there is an ETF called “MAGS” short for Magnificent Seven, but Tesla wasn’t knocked out - so don’t get confused by this headline if you have the ETF).
That said, there’s no official “MAG7” that stocks move in and out of… another easy reference could just be “MAG8” but this wouldn’t align with the 1960 Western (The Magnificent Seven).
A reference gaining momentum (floated on CNBC) is the acronym “BATMMAAN” (Broadcom, Apple, Tesla, Microsoft, Meta, Amazon, Alphabet, NVIDIA).
Today, the BATMMAAN stocks—Broadcom, Apple, Tesla, Meta, Microsoft, Alphabet (Google), Amazon, and NVIDIA—reflect a new standard of dominance in the AI era.
Collectively valued at nearly $19 trillion, these leaders account for roughly 30% of the S&P 500’s total market capitalization.
Their influence stems from an integrated approach to AI spanning software, platforms, and cutting-edge hardware, setting the pace for what’s next in technology and global commerce.
From FAANG to MAG7 to BATMMAAN (?): A Decade of Evolution
2013: FAANG – The Consumer Internet Revolution
Acronym: Facebook (now Meta), Apple, Amazon, Netflix, Google (now Alphabet)
Coined by Jim Cramer, FAANG emerged in the early 2010s to highlight a cohort of consumer internet powerhouses.
Each member unlocked new paradigms:
Facebook (Meta) monetized social media at scale.
Apple reshaped personal computing through the iPhone.
Amazon revolutionized retail and quietly built AWS.
Netflix pioneered video streaming.
Google (Alphabet) dominated search, digital advertising, and mobile via Android.
FAANG defined an era when billions came online, mobile devices ruled, and digital services became essential to everyday life.
2020: MAG7 – The Era of AI, Cloud, EVs
Acronym: Microsoft, Apple, Google (Alphabet), Amazon, NVIDIA, Tesla, Meta
By 2020, the narrative shifted beyond consumer-facing apps. Infrastructure, enterprise software, AI chips, and electric vehicles gained prominence. MAG7 showcased the integration of enabling technologies:
Microsoft re-emerged as a cloud leader with Azure and integrated AI across its ecosystem.
NVIDIA became the backbone of deep learning and high-performance computing.
Tesla transformed transportation with EVs and autonomous driving.
Meanwhile, Meta (Facebook) remained influential, but Netflix no longer fit the growth trajectory defined by AI, cloud services, and platform-level innovation.
2024: BATMMAAN – The AI-Powered Infrastructure Age
Acronym: Broadcom, Apple, Tesla, Meta, Microsoft, Alphabet, Amazon, NVIDIA
In 2024, a new acronym takes shape, BATMMAAN, reflecting the ascendance of Broadcom into the trillion-dollar club.
This shift underscores how critical advanced semiconductor and networking infrastructure have become in supporting AI workloads at scale.
BATMMAAN companies collectively highlight that AI now permeates every layer of technology, from consumer devices and enterprise services to the very chips that power them.
Broadcom’s Meteoric Rise in 2024
In 2024, Broadcom’s (AVGO) stock price surged by over 112%, recently pushing its market cap above $1 trillion.
This explosive growth cements Broadcom’s place alongside its elite peers.
AI-Driven Success
Record Revenue: Fiscal 2024 revenue reached $51.6 billion, up 44% year-over-year, with AI-related revenue soaring 220% to $12.2 billion—41% of its semiconductor revenue.
Custom AI Solutions: AI accelerators (XPUs) grew 350% year-over-year, and Ethernet switching solutions rose 400%. Partnerships with Amazon AWS, Google Cloud, and Microsoft Azure solidified Broadcom’s position as a key AI enabler.
Growth Catalysts
Infrastructure Expansion: Broadcom plans next-generation 3-nanometer XPUs by late fiscal 2025 and targets an AI hardware solutions market of $60-$90 billion by fiscal 2027.
Revenue Diversification: Beyond AI, server storage connectivity is rebounding, wireless revenue hit $2.2 billion in Q4 (up 30% sequentially), and infrastructure software revenue stands at $21.5 billion.
Future Outlook: Analysts project Q1 fiscal 2025 revenue of $14.6 billion and 17% revenue growth for FY2025. AI chip sales may rise 65% YOY in Q1 to $3.8 billion. Broadcom’s robust product pipeline, diversified revenue streams, and strategic hyperscaler partnerships position it as a linchpin of the AI infrastructure age.
Inside the BATMMAAN Companies: Current Focus & Future Directions
Broadcom (B)
Today’s Focus:
Advanced semiconductor solutions specifically designed for AI workloads, including custom accelerators and networking chips that enable ultra-fast data movement in hyperscale data centers.
Infrastructure software for secure, efficient, and scalable deployment of AI services.
Future Initiatives:
Developing next-generation 3-nanometer chips optimized for AI inference and training at lower power consumption.
Integrating AI-driven optimization into storage and networking solutions, creating end-to-end platforms that automatically balance workloads for maximum efficiency.
Fostering strategic collaborations with cloud providers to deliver AI-native infrastructure stacks.
Apple (A)
Today’s Focus:
Custom silicon (M-series chips) tuned for machine learning tasks in devices like iPhones, Macs, and iPads.
Vision Pro headset launching a new era of spatial computing, blending virtual and augmented reality with on-device AI for context-aware interactions.
Future Initiatives:
Exploring foldable device form factors and ultra-efficient chips integrating advanced neural engines to handle complex on-device AI without compromising privacy.
Enhancing wearable AR devices for immersive experiences, from health and fitness analytics to real-time language translation, all powered by AI-rich edge computing.
Evolving Siri and device AI features to become more proactive and contextually aware, transforming Apple’s ecosystem into an intelligent personal assistant network.
Tesla (T)
Today’s Focus:
Advancing Full Self-Driving (FSD) capabilities with proprietary AI stacks trained on massive real-world driving data.
Scaling battery production and energy storage solutions, using AI-driven optimizations for manufacturing and supply chain management.
Future Initiatives:
Developing next-generation EV architectures that integrate AI at every level—from advanced driver-assistance to predictive maintenance and vehicle personalization.
Deploying AI-powered humanoid robots and fully autonomous fleets for logistics, paving the way for autonomous ride-hailing services.
Leveraging AI to improve energy management in homes, factories, and power grids, ensuring optimal efficiency and sustainability at scale.
Meta (M)
Today’s Focus:
Integrating generative AI into social platforms for personalized content recommendations, community management, and creator tools.
Pushing AR/VR technologies forward (e.g., lightweight AR glasses) to build immersive social ecosystems—the “metaverse”—enhanced by AI-driven interactions.
Future Initiatives:
Expanding AI-driven moderation tools that understand context, tone, and semantics to maintain healthier online communities.
Developing “metaverse workplaces” and experiential commerce platforms where AI manages user flows, personalizes environments, and streamlines collaboration.
Pioneering haptic feedback and emotion-sensitive interfaces where AI adapts experiences to users’ moods and behavioral patterns.
Microsoft (M)
Today’s Focus:
Infusing Microsoft 365 and Windows with AI copilots that assist in content creation, coding, and productivity tasks.
Enhancing Azure’s AI capabilities, enabling enterprises to build sophisticated machine learning models at scale.
Future Initiatives:
Introducing Windows versions deeply integrated with on-board AI, enabling natural language interfaces, predictive system optimization, and adaptive user interfaces.
Extending mixed reality platforms with volumetric apps and AI-driven spatial analytics for training simulations, industrial design, and remote collaboration.
Driving end-to-end enterprise intelligence solutions, where data pipelines, analytics, and automation converge into a unified, AI-augmented operational platform.
Alphabet (Google) (A)
Today’s Focus:
Applying large language models (LLMs) and generative AI to enhance search, ads, and productivity tools.
Integrating AI into Google Cloud’s enterprise services, enabling advanced analytics, recommendation systems, and automation across industries.
Future Initiatives:
Investing in multimodal AI systems that combine text, images, video, and audio, powering more intuitive search results, content discovery, and personal assistance.
Accelerating the development of quantum computing and edge AI solutions, aiming to reduce latency and energy usage in global data centers.
Advancing medical AI research, from diagnostics to drug discovery, as well as climate modeling and language preservation initiatives.
Amazon (A)
Today’s Focus:
Employing AI in e-commerce to refine personalization, inventory management, and delivery logistics.
Integrating generative AI into Amazon Web Services (AWS) to simplify model development, deployment, and scaling for enterprises.
Future Initiatives:
Creating “smart warehouses” and fulfillment centers where AI-driven robotics, computer vision, and predictive analytics streamline operations.
Expanding voice-based AI through more natural and context-aware Alexa interactions, bridging the gap between digital and physical retail experiences.
Leveraging AI to enhance sustainability efforts, predicting carbon footprints, and optimizing energy use across the supply chain.
NVIDIA (N)
Today’s Focus:
Dominating AI computing infrastructure with GPUs tailored for deep learning, large-scale training, and accelerated inference.
Providing frameworks and software libraries that make it easier for developers to harness AI’s power.
Future Initiatives:
Rolling out next-generation chip architectures that blend CPUs, GPUs, and DPUs into a unified AI fabric, reducing bottlenecks and increasing efficiency.
Accelerating progress in generative AI, robotics simulation, and self-driving platforms, offering end-to-end hardware-software ecosystems.
Collaborating with partners to push the boundaries of supercomputing, from climate modeling and drug discovery to complex economic simulations.
Despite challenges—from regulatory scrutiny to economic cycles—these eight giants are charting the course of 21st-century innovation.
Their R&D heft, global distribution, and synergy with each other foster a feedback loop of constant advancement.
With AI still in its relative infancy, the BATMMANN era could lay the foundation for the next decade of exponential growth, reshaping how we live, work, and interact with technology.
What do I think of the BATMMANN acronym?
Easy and memorable… but much longer than MAG7 and people will end up confused about the spelling: BATMMAAN or BAATMMAN? LOL.
Would’ve been easier to just say MAG8, but movie link would be gone.
Anyways, Broadcom getting grouped with the MAG7 in BATMMANN is favorable marketing for Broadcom (not that they need it)… this may attract more retail YOLOs thinking “next big thing” (even though it’s already big).
Obviously it’ll be a larger % of most ETFs now due to its growth… so this should help reinforce Broadcom’s upward trajectory.
People like hot large-cap tech stocks, and right now there aren’t any hotter than Broadcom (AVGO).