Broadcom and Marvell Technology just put their custom AI silicon rivalry into sharper focus. Broadcom posted $22.2 billion in quarterly revenue, with $10.8 billion from AI chips, while Marvell Technology reported $2.418 billion and lifted its long-term revenue targets.
That is why Marvell Stock is drawing attention now. The company is not trying to look like Broadcom today; it is trying to convince investors that smaller can still mean faster. Marvell said data center made up 76% of the mix, and Matt Murphy raised FY2027 revenue guidance to about $11.5 billion and FY2028 guidance to about $16.5 billion.
The math still shows how far apart the two companies are. Broadcom’s AI semiconductor revenue grew 143% year-on-year, and Hock Tan said the company sees $16 billion in AI revenue in the current quarter. He also guided FY2027 AI revenue to above $100 billion, a scale that would imply about 1.25 times the full-year run rate of its latest quarterly AI sales, even before any further acceleration. Tan said 10 gigawatts of shipments are planned for 2027 across Google TPUs, Meta MTIA, OpenAI and Anthropic.
Murphy, meanwhile, is working with a much smaller base and a much longer climb. His new targets imply Marvell would need to keep compounding at a steep pace through FY2028 and beyond to reach its $10 billion custom silicon run rate goal for FY2029. He said the level of custom engagement with key customers remains unprecedented, a line that matters because it is the clearest argument Marvell has for why its pipeline can stretch that far.
And yet the market is not pricing the two stocks as if the gap alone tells the whole story. AVGO trades at a forward multiple of 21, while MRVL trades at 55. That means Marvell carries a much richer valuation even though Broadcom brings in far more AI revenue today. MRVL has also risen 161.64% year-to-date, and its beta of 2.246 underlines how much more volatile the name has become.
Broadcom’s advantage is not just size. Its operating margin is 67%, VMware’s software gross margin is 93%, and it says it has six locked-in gigawatt customers. It is also funding more than 20 gigawatts of deployed compute through 2028 through the AI XPV Platform with Apollo and Blackstone, which gives its AI franchise a longer runway than a single quarter’s revenue line can show.
Marvell’s case is narrower but still real: it is pitching itself as a challenger with optics, interconnect and custom silicon tied to the same hyperscaler spending wave Broadcom is already dominating. The next question for investors is not whether Broadcom leads today. It does. The question is whether Murphy can keep turning that broader customer engagement into shipments and revenue fast enough to justify the stock’s premium before Broadcom’s scale pulls even further ahead.
