Marvell CEO calls Google AI revenue opportunity 'astronomical'

According to Marvell Technology Inc. CEO Matt Murphy, investors are asking the wrong questions about the company's landmark Google deal.

On the earnings call Thursday, analysts spent considerable time trying to quantify how much revenue Google's newly disclosed agreement could generate. Murphy's answer wasn't a number—it was a signal that Wall Street's current models may be too low.

"If you consider the full scope of performance and opportunity, you're right. It's simply astronomical."

That remark captured what was arguably the biggest takeaway from the call—not that Alphabet Inc.'s Google represents another major customer, but that Marvell believes the deal will substantially expand the company's long-term profitability.

Marvell says Google's AI opportunity far exceeds current forecasts

The discussion began with analysts noting that the Google agreement, if performance milestones are met, could cumulatively generate up to $120 billion in revenue over six and a half years, implying peak annual revenue of approximately $18 billion.

Murphy did not dispute that calculation.

"When you look at the scale of this, your math isn't wrong."

Instead, he reminded that timing matters. Management indicated much of next year's expected revenue is already reflected in guidance, as multiple projects are underway. Murphy said the bigger acceleration comes later.

"Significant impact will arrive in 2029 and beyond."

That distinction matters because it shifts the conversation from next year's earnings to Marvell's longer-term AI revenue trajectory.

Marvell's Google deal goes beyond a single AI chip

Murphy also pushed back against investors viewing this as just a custom chip win.

According to management, the Google partnership spans inference accelerators, network interface cards, storage controllers, memory interface controllers, near-memory computing, and Marvell's XPU attach products.

"This involves multiple products and product lines," Murphy said, describing the collaboration as "very broad."

That breadth helps explain why Murphy repeatedly suggested analysts may still be underestimating the opportunity.

"Beyond anything you've modeled before... custom chip business numbers will certainly come in higher."

He went further, stating Marvell's custom AI business will become "far larger than anyone has modeled to date."

While Murphy declined to provide updated long-term revenue guidance ahead of Marvell's Investor Day, he indicated the company plans to present a more detailed roadmap extending through the end of the decade.

What investors should watch next

The key question isn't whether Google's deal can ultimately reach its maximum revenue potential—management deliberately avoided making that projection.

The more important signal is that Marvell is using this deal as evidence that its position in AI infrastructure has expanded beyond what current consensus models reflect.

Investors will now focus on the upcoming Investor Day, where management has promised to quantify the opportunity and explain how the Google agreement fits into Marvell's broader AI growth strategy.