Marvell Technology Raises Revenue Forecast to $20 Billion

Marvell Technology raised its fiscal 2028 revenue forecast to approximately $20 billion on Tuesday, surpassing Wall Street estimates of $18.2 billion. The company attributed the growth to strong demand for custom data center chips as technology firms develop in-house AI processors to decrease their reliance on Nvidia Inc.

Marvell also issued a long-term revenue forecast for fiscal 2031 between $70 billion and $90 billion. The midpoint of this projection significantly exceeds the analyst expectation of $46.85 billion. This growth strategy focuses on cloud-optimized silicon and includes a deal with Alphabet Inc. that could generate up to $120 billion in sales through fiscal 2033, provided performance milestones are met.

Following the announcement, shares of Marvell rose about 7 percent. Rival chipmaker Broadcom Inc. also saw its shares increase by 4 percent.