Chip stocks, including Nvidia Corp (NVDA  ), Advanced Micro Devices, Inc (AMD  ), Marvell Technology, Inc (MRVL  ), Micron Technology, Inc (MU  ), Taiwan Semiconductor Manufacturing Co (TSM  ), and Arm Holdings plc (ARM  ), are trading higher Friday in sympathy with Broadcom Inc (AVGO  ), bearing testimony to the interconnectivity of the semiconductor ecosystem.

Broadcom reported its fourth-quarter results after Thursday's closing bell. The company reported revenue of $14.05 billion, up from $9.3 billion a year ago, compared to the analyst consensus of $14.57 billion. EPS of $1.42 missed the analyst consensus of $1.46.

Broadcom expects first-quarter revenue of ~$14.60 billion, compared to the $14.57 billion consensus estimate.

The semiconductor industry has been jittery over growing geopolitical tensions between the U.S. and China, prompting Beijing to counter-embargo against the U.S. semiconductor sanctions.

Additionally, President-elect Donald Trump has criticized the U.S. chip subsidy since his campaign days. The subsidy has been pivotal in drawing foreign companies like Taiwan Semiconductor and Samsung, which have committed billions to U.S. semiconductor plants.

A possible optimism over the U.S. Fed rate cut is also influencing the semiconductor stock movement as it will make borrowing cheaper for the highly capital-intensive industry.

Investors can gain exposure to the semiconductor ETF through Invesco PHLX Semiconductor ETF (SOXQ  ) and Invesco Semiconductors ETF (PSI  ).

Price Action: At the last check in the premarket session on Friday, NVDA is up 1.16% to $138.94. AVGO is up 18.4%, TSM is up 3.74%, ARM is up 2.45%