Nvidia’s $2B Marvell Bet Aims for 41% Revenue CAGR by 2029
NVDA•Nvidia invested $2B in Marvell to supply optical connectivity chips, ASICs and DPUs for AI data centers, with revenue and EBITDA forecast to grow at CAGRs of 41% and 43% through 2029. Analysts estimate Marvell’s stock could rise eightfold over the next decade.
1. Nvidia’s $2B Strategic Investment
Nvidia has committed $2 billion to acquire a stake in Marvell, securing rights to supply high-speed optical connectivity chips, ASICs and data processing units for its AI data center architecture.
2. Marvell’s Pivot to AI Data Center Solutions
Marvell has transitioned from consumer electronics to focus on optical connectivity, ASICs and DPUs optimized for AI workloads, leveraging Nvidia’s NVLink Fusion interface to enhance data throughput and reduce latency.
3. Forecasted Growth and Upside Potential
Analysts forecast Marvell’s revenue and EBITDA to grow at compound annual rates of 41% and 43% through 2029, estimating the stock could increase eightfold over the next decade based on accelerating AI data center demand.
