Freedom: a deal with Google could support Marvell Technology shares

Google will receive the right to purchase up to 58.97 million Marvell shares. After the deal was announced, Marvell shares rose by more than 9%. Freedom analyst Natalia Milchakova считает the new cooperation scheme unusual for the U.S. market — the buyer of a company’s products simultaneously becomes a strategic investor in the supplier. Google will purchase Marvell chips and gradually gain the ability to increase its stake in the company. In addition, Milchakova notes that Marvell already has experience developing specialized solutions for Google.

Marvell expands cooperation with Google on supplies of artificial intelligence chips

Marvell Technology develops semiconductor solutions for data centers, cloud infrastructure, and telecommunications equipment. The company has already worked with Google on creating custom chips for the ecosystem of tensor processors. Google uses these processors to create, train, and run artificial intelligence systems. 

Google may receive up to 7% of Marvell Technology shares

Under the agreement, Google received the right to buy up to 58.97 million Marvell common shares at $206.58 per share. According to Oninvest, this is about 4% below the closing price on August 18. The total value of the stake upon full execution of the agreement could amount to up to $12.2 billion. 

Receiving the shares will be tied to purchase volumes. About 1.4 million shares will become available to Google in the first year, and the rest will be unlocked gradually. Each subsequent tranche will be linked to the purchase of Marvell chips for $500 million. 

By Natalia Milchakova’s estimate, as a result Google will be able to obtain up to 7% of Marvell Technology shares. 

Marvell will supply Google with artificial intelligence chips

Marvell products will be used to support Google’s tensor processors. These are specialized chips designed for the computations required to train and use artificial intelligence systems. 

Google is expanding the use of its own specialized processors to reduce dependence on third-party accelerators and cut computing infrastructure costs. At the same time, Marvell is becoming another major partner for the company in this area alongside Broadcom. In April, Google signed an agreement with Broadcom to develop and supply customized tensor processors. 

The new agreement deepens this cooperation: investments in Marvell and purchases of its products will be made in stages.

The market responded positively to the arrangements. After the partnership was announced, Marvell shares rose by more than 9%, while Broadcom shares at one point fell by more than 5%. 

Freedom notes intensifying competition in the AI chip market

Earlier, Freedom wrote that Nvidia’s competitors are rapidly closing the gap in the AI chip market. In the second quarter of 2026, the combined market capitalization of Micron Technology (MU), Intel (INTC) and AMD (AMD) rose by more than $2 trillion. Freedom analyst Natalia Milchakova noted that the development of artificial intelligence supports demand for semiconductors while simultaneously intensifying competition in the industry. 

Major technology companies are increasing investments in Marvell

Interest in Marvell Technology is not limited to Google. In April, Nvidia invested $2 billion in Marvell as part of developing artificial intelligence solutions. The companies agreed to develop specialized chips compatible with Nvidia’s GPUs and networking solutions, as well as technologies to increase data center bandwidth and energy efficiency. After the investment was announced, Marvell shares rose by about 7%.

Not an individual investment recommendation.