Nvidia CEO Jensen Huang said Marvell Technology could become the next trillion-dollar company during the Computex AI Exhibition in Taipei [1].
The endorsement from the head of the world's most valuable chip designer signals a shift in how investors view the AI infrastructure layer. By highlighting Marvell's growth potential, Huang validated the company's strategic position within the broader artificial intelligence ecosystem.
Speaking June 2, Huang said Marvell's AI-chip portfolio is a primary driver for this projected valuation [2]. The market reacted to the comment. Marvell shares surged more than 25% on Tuesday [3]. Other reports indicated the stock rose about 30% following the announcement [4].
The momentum continued throughout the week. Shares gained another five percent on June 4 [5]. This rally pushed Marvell's share price toward record highs as traders reacted to the prospect of a trillion-dollar market capitalization.
Marvell's portfolio focuses on data infrastructure, providing the connectivity, and processing power necessary to move massive amounts of data between AI accelerators. Huang's comments suggest that the value in the AI boom is expanding beyond the GPUs themselves and into the networking and custom silicon that supports them.
Industry analysts said such high-profile endorsements from the leadership of dominant firms like Nvidia can act as a catalyst for volatility. In this case, the prediction served as a signal of confidence in Marvell's ability to scale its operations to meet the demands of generative AI data centers [2].
“next trillion-dollar company”
This endorsement reflects a broader trend where the 'AI trade' is diversifying. While Nvidia dominates the compute layer, the focus is shifting toward the networking and connectivity layer where Marvell operates. A trillion-dollar valuation would place Marvell in an elite group of mega-cap tech firms, suggesting that the infrastructure required to support AI is viewed as being as critical as the chips that run the models.
