Marvell Technology and Alphabet's Google announced an expanded chip-development partnership that includes a warrant granting Google the right to purchase up to 58,970,907 Marvell shares at $206.58 each, totaling up to $12.2 billion1,5. Marvell shares rallied 6% on the news.
The deal ties the equity stake to purchasing targets through Marvell's fiscal year 2033. According to a securities filing cited by CNBC, the expanded agreement covers products that "attach to the TPU ecosystem," including AI inference accelerators, storage controllers, and network interface controllers.
The Financial Times characterized the arrangement as a "$12bn AI chip deal"3. Bloomberg reported the partnership as an expansion of an existing chip-development relationship between the two companies4.
CNBC noted that Google has largely been working with Broadcom on custom chips. ANALYSIS The Marvell deal broadens Google's custom silicon supply chain beyond Broadcom, giving it a second major partner for chips tied to its TPU infrastructure.
The warrant structure — equity upside linked to purchasing milestones through fiscal 2033 — aligns Marvell's financial incentives with sustained chip volume for Google's AI workloads, rather than a one-time procurement contract.
The announcement was reported on August 19, 20262.