Alphabet's Google Could Supercharge This Artificial …

By Harsh Chauhan – Apr 25, 2026 at 7:09AM EST

Key Points

Marvell Technology designs custom AI processors for major hyperscalers, and Alphabet has reportedly tapped it to design a couple of chips.
Alphabet’s growing influence in the AI chip market could fuel stronger growth at Marvell.
Marvell stock has already jumped nicely in 2026, and investors can expect more upside as it ramps up the output of custom AI processors for its customers.

Marvell Technology logo and company name in white on a black background.

Image source: The Motley Fool.

Marvell Technology’s custom AI processor business could get a big shot in the arm

Google has historically co-designed TPUs with Marvell’s rival, Broadcom. It is worth noting that Google and Broadcom recently strengthened their relationship to develop future custom AI chips. However, it looks Google is now looking to diversify its supply chain.

Marvell Technology Stock Quote

NASDAQ: MRVL

Marvell Technology

Today’s Change

(-0.79%) $-1.31

Current Price

$164.25

Key Data Points

Market Cap

$144B

Day’s Range

$158.53 – $170.80

52wk Range

$53.77 – $170.84

Volume

1.4M

Avg Vol

22M

Gross Margin

50.10%

Dividend Yield

0.15%

Tech-focused business publication The Information reports that Google is reportedly in negotiations with Marvell to develop a couple of new custom AI chips. While one will be a TPU meant to run AI models, the other is reportedly going to be a memory processing unit that will support Google’s TPUs.

The report further states that Google and Marvell plan to complete the design of the memory processing unit next year and send it to test production. While there has been no official comment on the report from either company, comments by Marvell management on the company’s March earnings call suggest it could indeed be designing chips for Google.

The company noted that its Structera memory controller chip has been cited in a white paper by “a leading hyperscaler on next-generation LLM inference architectures” to improve the performance of AI models thanks to its near-memory processing capability. The Structera processor brings memory chips closer to AI accelerators, helping boost bandwidth and capacity to enhance performance.

At the same time, Marvell management remarked that the company is “seeing an unprecedented level of activity across multiple new engagements as hyperscalers increase their cadence of custom chip development.” Another important point worth noting is that Marvell claims to have strong and broad relationships with the top four hyperscalers in the U.S. — a group that includes Google.

Even better, the company pointed out that it has more than 20 chip designs selected for deployment by customers that are either already in production or will go into production in its fiscal 2028 and 2029. Marvell’s fiscal 2027 began in February this year, so it won’t be surprising to see the company indeed designing chips for Google based on the timeline reported by The Information.

Why the Google partnership could be a big deal for Marvell

Marvell plays second fiddle to Broadcom in the custom AI processor market. The company estimated that it controlled less than 5% of the custom silicon market in 2023. However, it expects to boost its to 20% by 2028.

Importantly, Marvell estimates that its overall data center market , including custom processors, switches, interconnect, and storage, could also jump to 20% in the next couple of years. If that’s indeed the case, Marvell’s data center business could generate almost $19 billion in revenue in 2028 based on the company’s overall addressable market estimate of $94 billion.

That would be a solid improvement from its fiscal 2026, when its data center revenue increased by 42% to $8.2 billion. Moreover, a potential partnership with Google could unlock a solid long-term opportunity for Marvell. That’s because Google’s TPU business could witness eye-popping growth in the long run; the tech giant could corner a significant chunk of the overall AI chip market by selling its in-house chips to third parties.

So, don’t be surprised to see Marvell’s growth outpacing Wall Street’s expectations in the coming years.

MRVL Revenue Estimates for Current Fiscal Year data by YCharts.

But even if the company’s revenue only grows in line with consensus expectations and reaches $19 billion in fiscal 2029 (as per the chart above), its market cap could increase to $190 billion even if it trades at 10 times sales at that time (a discount to its current price-to-sales ratio of 15). That would be 38% higher than current levels.

However, this AI stock could deliver bigger gains, given its potential to clock stronger-than-expected growth that could lead the market to reward it with a premium valuation. That’s why it would make sense to buy Marvell before it heads higher ing the solid gains it has already clocked this year.