Google Wins Option to Buy Nearly $12 Billion Stake in Marvell
Marvell Technology has issued Alphabet's Google a warrant that could allow the search giant to acquire a stake worth about $12.18 billion in the chipmaker as part of an agreement to develop custom chips for Google, Marvell said Wednesday.
The deal comes amid intensifying competition among semiconductor companies to supply custom AI hardware to major technology firms. Under the agreement, Marvell will develop a range of technologies for Google, including AI inference accelerators, storage and networking components, memory interface controllers, and near-memory computing technologies.
The warrant gives Google the option to acquire a significant stake in Marvell, potentially deepening the relationship between the two companies as they expand their work on AI infrastructure. This is not the first agreement of its kind, as Broadcom signed a long-term deal with Google in April to develop and supply future generations of custom AI chips.