Google Partnership Sets Stage for Marvell's $120 Billion AI Opportunity

Marvell Technology Inc. (NASDAQ:MRVL) has expanded its partnership with Alphabet's (NASDAQ:GOOGL) Google, a move that could unlock a significant artificial intelligence revenue opportunity.

The partnership involves developing custom chips to support Google's Tensor Processing Unit ecosystem. The programs include an AI inference offload engine, storage controllers, networking chips, and memory interface controllers.

JPMorgan analyst Harlan Sur reiterated his Overweight rating on Marvell and said the agreement could support upside to Wall Street's revenue and earnings estimates as Google's custom AI infrastructure expands.

The potential annual revenue from this partnership stands at around $19.2 billion, according to JPMorgan, which is significantly higher than the current Wall Street estimate of $11.5 billion for fiscal 2027 and $16.8 billion for fiscal 2028.