A Motley Fool analysis favors Qualcomm over Marvell for long-term AI-chip upside, arguing Qualcomm’s data-center push is less reflected in expectations. It points to multiyear deals with Meta and Amazon, while Marvell’s AI growth is already widely recognized.
Qualcomm’s June data-center roadmap includes Dragonfly C1000 server CPUs and AI300 accelerators. Meta agreed to buy CPUs for future servers, with production slated to start in the second half of 2028. Qualcomm and Amazon also announced a multigeneration effort to develop custom chips for AWS data centers and high-speed optical links. Warrants could let an Amazon entity buy up to 25 million Qualcomm shares over time, tied to as much as $60 billion in potential chip purchases, according to CNBC reporting.
Marvell sells connectivity chips, optical links and custom silicon for data centers. Its management said data-center revenue rose from about $2.2 billion in 2023 to a projected $15 billion to $16 billion next year, and raised its combined revenue outlook for fiscal 2027 and 2028 to $30 billion, according to Investing.com. The article says Marvell shares rose nearly 250% in the last calendar year and that its case for Qualcomm depends on the company delivering on its deals.
