Nvidia CEO Jensen Huang Says This Is the Next Trillion-Dollar AI Chip Stock. Is He Right? - The Motley Fool

NVIDIA CEO Jensen Huang declared during a presentation at Computex Week in Taipei that Marvell Technology could become the next trillion-dollar company, sparking significant market interest in the sem... Read original →

Jensen Huang’s endorsement signals a structural shift: AI infrastructure is moving beyond GPU-centric designs toward XPU-optical interconnect co-optimization. Marvell’s 3nm EUV-based optical I/O chips are now critical to NVLink scaling, forcing TSMC and Intel to accelerate co-packaged optics (CPO). Yet U.S. export controls on advanced packaging tools could inflate Marvell’s Southeast Asian production costs, eroding margins. With Broadcom and AMD pushing competing chiplet interconnect standards, Marvell must lock in NVIDIA to establish de facto dominance. Achieving a $1T valuation demands >50% optical interconnect market share by 2027—unlikely given its current 25x price-to-sales multiple. Over the next 18 months, data center capex will prioritize bandwidth efficiency, elevating Marvell’s strategic role but also exposing it as a geopolitical chokepoint.