Marvell Raises AI Revenue Forecast as Google Deal Expands

Marvell has raised its fiscal 2028 revenue outlook to about $20 billion, up from earlier targets of $18 billion and $16.5 billion, as demand for AI chips and data-centre infrastructure strengthens. It expects fiscal 2027 revenue of roughly $12 billion, around 45% annual growth, and says data-centre revenue could rise by more than 60% that year. In its latest reported quarter, data-centre sales were $2.17 billion, up 46% year on year and about 79% of total revenue. The expanded Google agreement could generate up to $120 billion in cumulative sales through fiscal 2033 if performance targets are met. Google also received warrants to buy nearly 59 million Marvell shares at $206.58 each. Marvell now expects custom silicon revenue to reach $12 billion by fiscal 2029, up from a previous $10 billion target. The company says connectivity products, including 1.6T optical signal processors and scale-up optics, will drive much of its fiscal 2028 growth. Its custom-chip programmes also serve Amazon, Alphabet, Microsoft and Meta; a broader Google contribution could become more significant from fiscal 2029. Marvell estimates the AI market could reach $400 billion by 2030. The outlook reflects investment in custom accelerators for AI workloads, particularly inference, and could strengthen Marvell and Broadcom’s positions alongside Nvidia. For crypto traders, the news is an indirect signal of continued demand for AI infrastructure, not a direct catalyst for any cryptocurrency. Marvell remains exposed to data-centre spending and a small group of hyperscalers, while the projected Google sales depend on future targets.