Marvell Technology shares jumped 12% on Thursday after the chipmaker disclosed a binding agreement with Google to develop custom semiconductor products.
The agreement, announced in a regulatory filing on July 29, outlines the development of specialized chips for Google’s infrastructure needs. The arrangement also included the issuance of a warrant to Google, allowing the tech giant to purchase up to 58.97 million Marvell shares at $206.58 per share. The warrant was issued on August 18.
Marvell, which designs and manufactures semiconductor solutions for data infrastructure, including data center, networking, and storage chips, did not disclose financial terms beyond the warrant details. The company’s stock rose sharply following the announcement, reflecting investor optimism about the partnership’s potential to expand Marvell’s market reach in high-demand custom chip segments.
Analysts noted that the deal could position Marvell as a key supplier for Google’s expanding AI and cloud infrastructure, though no revenue projections or long-term commitments were specified in the filing. The chipmaker’s shares closed higher, extending gains from the previous session.
