Google Secures Warrant for $12.2 Billion Marvell Investment

Marvell Technology, Inc. shares rose nearly 11% in pre-market trading on Wednesday following the disclosure of a warrant agreement with Google. Dated August 18, 2026, the agreement grants Google the right to acquire up to 58,970,907 shares of Marvell common stock at an exercise price of $206.58 per share, representing a potential investment of approximately $12.2 billion.

The warrant is exercisable until August 18, 2033, and is tied to a custom silicon partnership. This collaboration covers Google's TPU ecosystem and AI infrastructure, specifically including AI inference accelerators, storage controllers, and network interface controllers.

While a small portion of shares vest quarterly during the first year, the majority of the equity is performance-based. Shares will vest for every $500 million of custom product revenue Marvell recognizes from Google between fiscal 2027 and 2033, directly linking Google's potential equity stake to its future purchases of Marvell's custom chips.