Key facts
- Marvell Technology shares surged over 25% on Tuesday.
- Nvidia CEO Jensen Huang called Marvell Technology the 'next trillion-dollar company'.
- Nvidia previously invested $2 billion in Marvell.
- Marvell forecasts its custom chips business revenue to surpass $10 billion by fiscal 2029.
- Nvidia shares climbed 3.2%.
Marvell Technology's shares experienced a significant surge, exceeding 25%, following a public endorsement from Nvidia CEO Jensen Huang, who referred to the company as the 'next trillion-dollar company'. The endorsement, made during Computex week in Taipei, highlights the growing importance of specialized chips and interconnect technologies in the AI data center market. Nvidia's prior $2 billion investment in Marvell underscores the strategic partnership aimed at enhancing custom AI chip integration with Nvidia's networking and processing hardware. Marvell's own projection of its custom chips business revenue surpassing $10 billion by fiscal 2029 further fuels investor optimism.