Microsoft's chip delay meets Marvell: Detail of shares!

Microsoft's chip delay meets Marvell: Detail of shares!

Marvell Technology, USA - The developments in the semiconductor market are a constant dance between opportunities and challenges. According to the latest information, the situation for Marvell Technology, a key player in the chip area, has improved through the AI ​​boom, but there are certain stumbling blocks that cannot be ignored. The company, which develops decisive components for Microsoft's tailor-made AI chips, has to take current delays into account at Microsoft's developments. The plans for in-house AI chips from Microsoft were moved significantly back-the most powerful custom chips should now only come onto the market in 2028 or later, while the MAIA 200 chip was postponed from 2025 to 2026. This affects Marvell, whose share fell 1% last Wednesday, despite a strong overall mood in the semiconductor sector, as reported by the Börse Express. The divergence in stock development clearly shows that Marvell's problems are homemade.

A main factor for these challenges is the strong dependence on large cloud providers. It seems that Marvell not only has to rely on Microsoft, but also has to wear different risks due to geopolitical tensions and shrinking margins in AI chip projects. This can also be seen in the concerns of Wall Street, which question the practicality of the partnerships with large players such as Amazon Web Services (AWS) and Microsoft. next platform indicates the need to help the customers in the chip I/O technology for hyperscaler and cloud farmer positioned.

growth in the datacenter area

Despite these challenges, a current financial overview for the first quarter of 2026 shows that Marvell has delivered solid numbers. The company recorded sales of almost 1.9 billion USD, which means a record and an impressive plus of 63.3% compared to the same period last year. The operational income was $ 270.6 million, while net income was $ 177.9 million, which is a decrease of 12.5% ​​compared to the previous quarter. Nevertheless, the cash account remains with $ 886 million, and the entirety of the bank balance amounts to USD 4.23 billion. For the next quarter, Marvell expects sales of around $ 2 billion, which corresponds to a growth rate of 57% compared to the previous year.

A crucial engine of growth is the datacenter business, which is strongly based on the partnerships with AWS and Microsoft for AI processors. It is particularly noteworthy that sales from the Datacenter area were $ 1.44 billion in the first quarter and thus increased by 76.5% compared to the previous year. Surprisingly, sales in this area made about 63.3% of Marvell's total turnover. This illustrates the progressive importance of AI technologies in the business context, which not only includes high-performance processors for data centers, but also specialized AI XPU modules.

semiconductor market on upward trend

The dynamics in the semiconductor market not only show up at Marvell, but can also be seen across the sector. According to a report by DZ Bank, the market had a turnover of 48.7 billion USD-the highest value over one year and an increase in 11.6% compared to the previous year. This positive tendency is based, among other things, on the replacement of older computers through more powerful models and the strong increase in demand for high-performance processors for AI applications.

Overall, the semiconductor market is optimistic for 2024, since WSTs expects sales growth from 13.1% to almost 600 billion USD. Technological trends offer additional course potential, although weak demand in some areas such as industrial application continues to be a challenge. Ultimately, it will be shown how well Marvell and other companies in the industry master these adjustments and whether the AI ​​boom is not just a short-term trend, but is also a long-term growth engine.