Marvell Raises 2028 Revenue Forecast to $20 Billion as AI Chip Demand Surges
Marvell Raises Fiscal 2028 Revenue Target
Marvell Technology has raised its fiscal 2028 revenue forecast to approximately $20 billion, up from its previous $18 billion target, as demand for custom chips and data-center infrastructure continues to grow with AI spending.
The revised forecast was announced at Marvell’s Investor Day on October 6. The new target is above the roughly $18.2 billion revenue analysts had expected for fiscal 2028, according to LSEG data.
Marvell also introduced its first fiscal 2031 revenue target, projecting annual revenue between $70 billion and $90 billion. At the midpoint of $80 billion, the forecast is substantially above the $46.85 billion average estimate from four analysts polled by Visible Alpha.
AI Demand Drives Custom Chip Growth
A major part of Marvell’s growth strategy is its custom silicon business. Cloud and technology companies are increasingly developing their own AI processors to improve performance and reduce reliance on general-purpose accelerators.
Marvell designs and supplies custom and cloud-optimised silicon for data centers, positioning the company to benefit from the expansion of AI infrastructure. Its data-center business has already shown strong momentum, with fiscal Q2 2027 data-center revenue growing 46% year over year.
The company has also benefited from major hyperscaler relationships. In August, Marvell disclosed an expanded agreement with Google that could generate up to $120 billion in sales through fiscal 2033 if specified performance milestones are achieved.
Long-Term Revenue Ambitions
The new targets represent a sharp increase from Marvell’s earlier forecasts. The company had raised its fiscal 2028 outlook to $18 billion in August from $16.5 billion. Its latest $20 billion target therefore represents another upward revision within weeks.
For fiscal 2031, Marvell expects its custom silicon business to become an even larger contributor. Under the company's $80 billion midpoint scenario, around $30 billion is expected to come from custom silicon, while approximately $37.5 billion would come from its interconnect business, which helps move data within and between data centers.
Marvell Bets on the AI Infrastructure Boom
Marvell’s forecasts reflect the company’s view that AI infrastructure spending will continue expanding beyond GPUs into custom processors, networking and high-speed connectivity.
The company’s latest outlook is ambitious and depends on sustained AI infrastructure investment, successful execution of custom-chip programs and continued expansion among large cloud customers. The $70 billion to $90 billion fiscal 2031 range is therefore a long-term company target rather than a guaranteed outcome.
Marvell’s latest projections show how semiconductor companies supplying the infrastructure around AI systems are increasingly positioning themselves for growth as hyperscalers invest in larger and more specialised data centers.
