Prominent chip stock (NASDAQ: AVGO) got chipped on Thursday, on news that a top client might be accelerating a move away from its hardware. Investors traded Broadcom's shares down by more than 1% on the news, a steeper fall than the 0.5% drop recorded by the bellwether S 500 index.

Early in the day, Bloomberg reported that Apple (NASDAQ: AAPL) intends next year to begin using one of its chips to power the Bluetooth and WiFi technology that connects iPhones and iPads, among other goods. This would supplant several parts currently provided by Broadcom.

Citing unnamed "people familiar with the matter," the financial news agency wrote that Apple's Proxima chip will begin to appear in the first products in 2025. Proxima is to be manufactured by the world's most prominent contract chip maker, Taiwan Semiconductor Manufacturing.

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Source Fool.com