Marvell Technology Surges After $12.2B Google Warrant for Custom AI Chip Development
Shares of Marvell Technology (NASDAQ:MRVL) rose over 13% after the company announced a warrant worth approximately $12.18 billion issued to Alphabet's Google, as part of an agreement to develop custom AI chips. The deal involves creating inference accelerators and other technologies for Google’s data centers. This development signals Marvell gaining traction in hyperscaler chip supply chains. Broadcom (NASDAQ:AVGO) shares fell 3% amid speculation that it may be losing ground on a key client, as the company had previously secured long-term contracts with Google to develop AI chips through 2031. The market is interpreting this shift as competitive rather than an overall industry boost. Astera Labs (NASDAQ:ALAB) and Credo Technology also saw gains of up to 3%, reflecting broader optimism in custom silicon demand for data center infrastructure.
Tickers: $ALAB $AVGO $CRDO $GOOGL $MRVL
Topics: AI chips Broadcom custom silicon Google Marvell