1. NVIDIA Corporation (NASDAQ:NVDA)
On March 31, NVIDIA Corporation (NASDAQ:NVDA) and Marvell Technology, Inc. (NASDAQ: MRVL) announced a strategic partnership in which NVDA is investing $2 billion in Marvell. The collaboration focuses on NVDA’s NVLink Fusion, a rack-scale AI infrastructure that allows custom chip designers and hyperscalers to integrate their XPUs and CPUs with NVIDIA’s interconnect technology. Under the agreement, Marvell will supply custom AI accelerators (XPUs) and NVLink Fusion-compatible scale-up networking, while NVIDIA Corporation (NASDAQ:NVDA) will provide supporting technologies, including ConnectX NICs, Spectrum-X switches, Vera CPUs, BlueField DPUs, NVLink interconnects, and rack-scale AI compute. The companies will also work together on silicon photonics and advanced optical networking to enhance AI and telecommunications infrastructure.
According to Wedbush Securities, the partnership covers AI-RAM, NVLink, and key technologies like optical networking and SiPh. Analyst Matt Bryson said it is not clear which technology is the main driver for NVIDIA Corporation (NASDAQ:NVDA), while Marvell is motivated to complete the deal because of the $2 billion investment. NVLink Fusion allows Marvell’s custom XPUs to integrate seamlessly with NVIDIA systems. Additionally, Marvell already supplies XPUs to clients, including Amazon and Microsoft.
Oppenheimer analyst Rick Schafer said the deal strengthens NVDA’s AI ecosystem by combining Marvell’s XPUs with NVLink Fusion for high-performance scale-up networking. He described the partnership as “a vote of confidence” in Marvell as a key AI partner for ASIC and connectivity.
NVIDIA Corporation (NASDAQ:NVDA) is a fabless semiconductor and AI computing company that designs GPUs, AI accelerators, Application Programming Interfaces (APIs), and system-on-a-chip units. Through its CUDA ecosystem, the company enables industries ranging from autonomous vehicles to scientific research by advancing AI, accelerated computing, and data center infrastructure.
While we acknowledge the potential of NVDA to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than NVDA and that has 100x upside potential, check out our report about the cheapest AI stock.
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