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Marvell custom AI XPU programs now 25% of data center revenue with multi-generational stickiness; follow-on generation expected to ramp calendar 2026 with significant production volume
Matt Murphy· Marvell Technology· AI· 2025-06-12· about Marvell Technology (MRVL) (MRVL)
“custom now has grown to about 25% of the of the data center revenue...we expect revenue from custom XPUs for this customer to not only grow this year, fiscal 2026, but continue to grow next year, fiscal 2027, and beyond...we believe we are well on track to meet our customers desired schedule to start production in calendar 2026”
Why it matters
Marvell has secured multi-generational design wins with hyperscaler customers for custom XPU and CPU silicon. This signals sustained capex and manufacturing load at TSMC and advanced packaging partners over 2026–2027+. The follow-on XPU program production ramp in calendar 2026 represents new revenue inflection and supply chain pressure.
Investment implication
TSMC will face increased 5nm and 3nm node allocation for Marvell custom designs. Advanced packaging (CoWoS, chiplets) and custom HBM partnerships with SK Hynix and Samsung will see sustained demand. Semiconductor equipment vendors (ASML, Lam Research, Applied Materials) benefit from higher fab utilization and advanced node ramps.