Who Optimizes SG&A Costs Better? Broadcom Inc. or Seagate Technology Holdings plc

Optimizing SG&A: A Tale of Two Tech Giants

In the competitive world of technology, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. Broadcom Inc. and Seagate Technology Holdings plc, two industry leaders, have shown contrasting strategies over the past decade. From 2014 to 2023, Broadcom's SG&A expenses surged by over 1,100%, peaking in 2024. This increase reflects Broadcom's aggressive expansion and investment in administrative capabilities. In contrast, Seagate's SG&A costs decreased by approximately 36% during the same period, indicating a focus on cost efficiency and streamlined operations. By 2023, Seagate's SG&A expenses were less than a third of Broadcom's, highlighting its commitment to lean management. This divergence in strategies underscores the different paths companies can take to optimize operational costs, with Broadcom prioritizing growth and Seagate emphasizing efficiency. As the tech landscape evolves, these strategies will continue to shape their competitive positions.