Broadcom Corporation (Nasdaq: BRCM), a global leader in semiconductors for wired and wireless communications, today updated its financial guidance for the fourth quarter of 2008 at its 2008 Analyst Day event.

Due to the current global economic environment, customers across each of Broadcom’s targeted end markets have requested adjustments in their deliveries for the fourth quarter, resulting in significant pushouts and cancellations since the Company originally provided guidance for the quarter in October 2008.

Broadcom now anticipates:

Q4 2008 Net revenue
New guidance: $1,050 to $1,100 million including AMD Digital TV
(DTV) acquisition.

Prior guidance: $1,170 to $1,235 million excluding AMD DTV
acquisition.

Q4 2008 Gross margin
New guidance: Broadcom’s gross margin is expected to be down 105
to 130 basis points sequentially excluding the AMD
DTV business.

Including a negative 20 basis point impact
associated with acquisition related accounting for
AMD’s DTV business inventory, gross margin is
expected to be down 125 to 150 basis points.

Prior guidance: Down 50 to 75 basis points sequentially excluding
the AMD DTV acquisition.

Q4 2008 Operating expense
New guidance: Broadcom’s operating expense is expected to be
roughly flat sequentially excluding the AMD DTV
business.

Including AMD DTV operating expense of
approximately $15 million, total Broadcom operating
expense is expected to be up approximately $15
million sequentially

Prior guidance: Up $12 to $17 million sequentially excluding AMD
DTV acquisition.

Q4 Inventory turns
New guidance: Approximately 5 turns.

Prior guidance: Approaching 8 turns.

All new guidance excludes one-time and acquisition related charges.

“Despite the recent impact of the slowing economy, Broadcom experienced a very strong fiscal year from a product, financial and customer perspective. Broadcom continues to be in a very strong financial position and is committed to protecting our operating cash flow in this current environment” said Scott A. McGregor, Broadcom’s President and Chief Executive Officer. “We possess one of the broadest product and IP portfolios and a superior engineering team to drive the convergence of voice, video and data, and wired and wireless networking that we believe will be key as the economic environment improves. We believe we can continue to maintain or gain market share, which will position us well for when market demand recovers.”

For additional information details on Broadcom’s 2008 Analyst Day please access the Broadcom’s investor relations website at http://www.broadcom.com/investors.

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