Marvell Technology shares surged over 7% following reports that Amazon may sell its custom Trainium AI chips to external companies. Marvell serves as the primary design partner for the Trainium hardware.
The stock reached a record high of approximately $330 before closing near $311. Amazon previously restricted these chips exclusively to Amazon Web Services customers.
This strategic shift positions Amazon to compete directly with Nvidia in the merchant silicon market. CEO Andy Jassy previously cited high demand as a driver for potential third-party sales. Marvell continues to report strong data center revenue growth fueled by AI-related demand.