Marvell Technology deepens NVIDIA tie-up, boosting its role in AI infrastructure and unlocking new growth avenues in high-speed connectivity and custom silicon
Marvell Technology MRVL recently expanded its partnership with NVIDIA to strengthen its long-term growth outlook by embedding it deeper into the fast-growing AI infrastructure ecosystem. MRVL will integrate into NVIDIA’s AI ecosystem like NVLink Fusion and AI-RAN, enabling customers to build custom AI XPU systems that remain fully compatible with NVIDIA platforms.
By integrating with NVIDIA’s NVLink Fusion platform, Marvell Technology gains direct access to customers building next-generation AI factories, where demand for high-speed connectivity and custom silicon is rising sharply. NVIDIA is contributing core technologies, including CPUs, GPUs, networking and switches, while MRVL brings custom silicon, optical interconnects and silicon photonics.
This positions Marvell Technology as a key enabler of scalable AI systems rather than just a component supplier. NVIDIA’s $2 billion investment also signals strong confidence in Marvell’s capabilities, which could attract more large-scale customers. As AI workloads expand across cloud and 5G/6G networks, this partnership enhances Marvell Technology’s revenue visibility and opens new high-margin opportunities among hyperscaler and AI data center customers.
The partnership will enable MRVL to make it a strong beneficiary of the accelerating AI infrastructure buildout. MRVL has already posted strong results in fiscal 2026, with 74.4% of revenues coming from the data center business, which reached $6.1 billion. Given the contribution to MRVL’s top line and the year-over-year growth rate of 46.5%, the data center business has now become the main growth engine for MRVL.
Broadcom $AVGO AVGO is one of the leading suppliers of custom silicon solutions for data center, service provider and enterprise networking customers. Broadcom’s advanced 3.5D XDSiP packaging platform is specifically designed to enhance the performance and efficiency of custom AI XPUs.
Advanced Micro Devices AMD $AMD is another player in the custom silicon solutions and AI accelerator space with its semi-custom SoC offerings and Instinct Accelerators that power numerous data centers. Advanced Micro Devices’ reconfigurable Alveo Adaptable Accelerator Cards are used to speed up compute-intensive applications in data centers.
While Broadcom and Advanced Micro Devices are formidable players in the custom silicon space for AI acceleration, Marvell Technology’s deep partnership with NVIDIA provides MRVL the necessary support to sustain in this space.
Shares of Marvell Technology have gained 91.7% in the past year compared with the Zacks Electronics - Semiconductors industry’s appreciation of 92.8%.
Image Source: Zacks Investment Research
From a valuation standpoint, Marvell Technology trades at a forward price-to-sales ratio of 8.12X, higher than the industry’s average of 7.1X.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for MRVL’s fiscal 2027 and 2028 earnings implies year-over-year growth of 34% and 40%, respectively. The estimates for fiscal 2027 and 2028 have been revised upward in the past 30 days.
Image Source: Zacks Investment Research
Marvell Technology currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
SeeWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Join 500,000+ readers who start their day with Quartz.
By subscribing, you agree to our Terms of Service and Privacy Policy.
