{"slug": "marvell-gives-google-warrant-for-potential-12-2-billion-stake-in-custom-chip", "title": "Marvell gives Google warrant for potential $12.2 billion stake in custom-chip deal", "summary": "Marvell Technology issued Alphabet's Google a warrant to buy up to 58,970,907 Marvell shares at $206.58 per share, potentially worth about $12.2 billion, as part of an expanded custom-chip deal covering AI inference accelerators, storage controllers, networking, and memory-interface controllers. The warrant, filed with the SEC on August 19, 2026, includes performance-based vesting tied to Google's purchases through fiscal 2033, but does not guarantee a minimum purchase commitment. Marvell shares rose about 8% in late trading, while Broadcom fell about 4% after separately disclosing its own long-term Google agreement through 2031.", "body_md": "# Marvell gives Google warrant for potential $12.2 billion stake in custom-chip deal\n\n- Marvell issued Google a warrant for up to 58,970,907 shares at an exercise price of $206.58 per share, or about $12.18 billion at the strike price.\n[[1]](https://investor.marvell.com/sec-filings/all-sec-filings/content/0001193125-26-356217/d412696d8k.htm) - The disclosed product scope includes AI inference accelerators, storage controllers, networking and memory-interface controllers, and near-memory computing technologies.\n[[1]](https://investor.marvell.com/sec-filings/all-sec-filings/content/0001193125-26-356217/d412696d8k.htm)[[2]](https://www.marketwatch.com/story/marvells-stock-soars-on-news-of-google-chip-deal-and-broadcoms-falls-c2a7f559?mod=mw_rss_topstories) - Marvell shares were up about 8% late Wednesday, while Broadcom was down about 4%; Alphabet’s Class A shares were little changed.\n[[3]](https://finance.yahoo.com/quote/MRVL/) - Broadcom separately disclosed a long-term Google agreement covering future custom AI chips and other components through 2031.\n[[4]](https://www.sec.gov/Archives/edgar/data/1730168/000119312526295589/d84378d8k.htm)\n\nMarvell Technology has expanded its custom-silicon relationship with Google, giving Alphabet’s Google a warrant that could allow it to buy about $12.2 billion of Marvell stock if the warrant is fully exercised. The arrangement broadens Marvell’s disclosed role around Google’s Tensor Processing Unit infrastructure, but it does not specify a minimum purchase commitment or say that Marvell is replacing Broadcom. [[1]](https://investor.marvell.com/sec-filings/all-sec-filings/content/0001193125-26-356217/d412696d8k.htm)[[4]](https://www.sec.gov/Archives/edgar/data/1730168/000119312526295589/d84378d8k.htm)\n\nMarvell filed the agreement and warrant with the Securities and Exchange Commission on Wednesday, August 19, 2026. The commercial agreement is dated July 29, and the warrant was issued August 18, according to details reported from the filing. [[1]](https://investor.marvell.com/sec-filings/all-sec-filings/content/0001193125-26-356217/d412696d8k.htm)[[2]](https://www.marketwatch.com/story/marvells-stock-soars-on-news-of-google-chip-deal-and-broadcoms-falls-c2a7f559?mod=mw_rss_topstories)\n\n## A potential stake tied to customer revenue\n\nThe warrant covers 58,970,907 Marvell common shares at an exercise price of $206.58 per share. Multiplying those figures produces approximately $12.18 billion in potential exercise proceeds. That is the value of the maximum share purchase at the fixed strike price—not an immediate equity investment by Google and not committed revenue for Marvell. [[1]](https://investor.marvell.com/sec-filings/all-sec-filings/content/0001193125-26-356217/d412696d8k.htm)[[2]](https://www.marketwatch.com/story/marvells-stock-soars-on-news-of-google-chip-deal-and-broadcoms-falls-c2a7f559?mod=mw_rss_topstories)\n\nThe warrant includes a time-based portion and a larger performance-based portion linked to revenue from custom products purchased by Google and its affiliates. The performance conditions run through Marvell’s fiscal 2033 period, and the warrant is exercisable through August 18, 2033, subject to its terms. [[1]](https://investor.marvell.com/sec-filings/all-sec-filings/content/0001193125-26-356217/d412696d8k.htm)[[2]](https://www.marketwatch.com/story/marvells-stock-soars-on-news-of-google-chip-deal-and-broadcoms-falls-c2a7f559?mod=mw_rss_topstories)\n\nThe structure links the possible dilution to commercial activity, but the public disclosure does not establish that Google will purchase the full amount needed for all shares to vest. The warrant’s maximum value should therefore not be presented as a guaranteed contract value. [[1]](https://investor.marvell.com/sec-filings/all-sec-filings/content/0001193125-26-356217/d412696d8k.htm)\n\n## The deal covers silicon around Google’s TPU platform\n\nMarvell said the expanded partnership spans custom semiconductor programs related to Google’s TPU ecosystem. The disclosed scope includes AI inference accelerators, storage controllers, networking and memory-interface controllers, and near-memory computing technologies. [[1]](https://investor.marvell.com/sec-filings/all-sec-filings/content/0001193125-26-356217/d412696d8k.htm)[[2]](https://www.marketwatch.com/story/marvells-stock-soars-on-news-of-google-chip-deal-and-broadcoms-falls-c2a7f559?mod=mw_rss_topstories)\n\nThe filing and contemporaneous coverage do not provide product schedules, unit volumes, pricing, manufacturing arrangements or expected revenue. They also do not establish whether Marvell will design the primary TPU accelerator for any particular generation. The confirmed point is that Marvell will participate in a broader set of custom products associated with Google’s TPU infrastructure. [[1]](https://investor.marvell.com/sec-filings/all-sec-filings/content/0001193125-26-356217/d412696d8k.htm)[[2]](https://www.marketwatch.com/story/marvells-stock-soars-on-news-of-google-chip-deal-and-broadcoms-falls-c2a7f559?mod=mw_rss_topstories)\n\nThat distinction matters because a TPU system includes more than the accelerator itself. Storage, networking and memory-interface components can be designed as part of the same data-center architecture, but the disclosure alone does not show how responsibilities will be divided among Marvell, Broadcom or any other supplier.\n\n## Broadcom remains a Google supplier\n\nBroadcom said in a July 6 Form 8-K that it and Google had agreed to develop and supply future generations of custom AI chips and other components for Google’s next-generation AI racks through 2031. [[4]](https://www.sec.gov/Archives/edgar/data/1730168/000119312526295589/d84378d8k.htm)\n\nMarvell’s agreement therefore adds a disclosed supplier relationship; it does not prove that Broadcom has lost Google’s TPU business. The public filings do not specify whether the companies will serve different TPU generations, product categories or portions of the same programs. [[1]](https://investor.marvell.com/sec-filings/all-sec-filings/content/0001193125-26-356217/d412696d8k.htm)[[4]](https://www.sec.gov/Archives/edgar/data/1730168/000119312526295589/d84378d8k.htm)\n\nInvestors treated the news as favorable for Marvell and unfavorable for Broadcom. Late Wednesday, Marvell was trading at about $233.20, up 7.96%, while Broadcom was at about $364.30, down 4.13%. Alphabet Class A shares were about $343.99, down 0.06%. [3] MarketWatch had reported Marvell up more than 7% in morning trading.\n\n[[2]](https://www.marketwatch.com/story/marvells-stock-soars-on-news-of-google-chip-deal-and-broadcoms-falls-c2a7f559?mod=mw_rss_topstories)## Companies mentioned\n\n## Further sources\n\n[[1] Marvell Technology Form 8-K filed August 19, 2026, as identified in the company… ↗](https://investor.marvell.com/sec-filings/all-sec-filings/content/0001193125-26-356217/d412696d8k.htm)\n\n[[2] MarketWatch, “Marvell’s stock pops on news of Google chip deal — and Broadcom’s… ↗](https://www.marketwatch.com/story/marvells-stock-soars-on-news-of-google-chip-deal-and-broadcoms-falls-c2a7f559?mod=mw_rss_topstories)\n\n[[3] Market data retrieved August 19, 2026: MRVL at $233.20, up 7.96%; GOOGL at $343… ↗](https://finance.yahoo.com/quote/MRVL/)\n\n[[4] Broadcom Form 8-K dated July 6, 2026, stating that Broadcom and Google agreed t… ↗](https://www.sec.gov/Archives/edgar/data/1730168/000119312526295589/d84378d8k.htm)\n\nThe stories that matter, in one email. Free — unsubscribe anytime.", "url": "https://wpnews.pro/news/marvell-gives-google-warrant-for-potential-12-2-billion-stake-in-custom-chip", "canonical_source": "https://mlq.ai/news/marvell-gives-google-warrant-for-potential-122-billion-stake-in-custom-chip-deal/", "published_at": "2026-08-19 17:57:46.494723+00:00", "updated_at": "2026-08-19 17:57:48.819836+00:00", "lang": "en", "topics": ["artificial-intelligence", "ai-chips", "ai-infrastructure"], "entities": ["Marvell Technology", "Google", "Alphabet", "Broadcom", "Securities and Exchange Commission", "Tensor Processing Unit"], "alternates": {"html": "https://wpnews.pro/news/marvell-gives-google-warrant-for-potential-12-2-billion-stake-in-custom-chip", "markdown": "https://wpnews.pro/news/marvell-gives-google-warrant-for-potential-12-2-billion-stake-in-custom-chip.md", "text": "https://wpnews.pro/news/marvell-gives-google-warrant-for-potential-12-2-billion-stake-in-custom-chip.txt", "jsonld": "https://wpnews.pro/news/marvell-gives-google-warrant-for-potential-12-2-billion-stake-in-custom-chip.jsonld"}}