Marvell shares jump 11% as Google secures option for $12.18B stake
Custom chipmaker Marvell Technology granted Alphabet’s Google a warrant to acquire a stake valued at approximately $12.18 billion as the tech giants expand their partnership on custom artificial intelligence semiconductors. Semiconductor investors, rival chipmakers, and cloud infrastructure providers faced immediate market shifts as technology companies seek cost-effective alternatives to Nvidia’s dominant graphics processing units.
Marvell stock surges 11% while competitor Broadcom drops on TPU deal expansion
Marvell shares surged more than 11% in premarket trading following the warrant announcement, while rival custom-chip supplier Broadcom dropped over 3%. Under the agreement, Marvell will help develop specialized hardware technologies for Google, including near-memory computing, to strengthen the capabilities of Google’s proprietary Tensor Processing Units across its consumer products and cloud platform.
The expansion comes after Broadcom signed a long-term agreement with Google in April to supply future generations of custom AI chips through 2031.
