Broadcom vs. Marvell: Which Custom AI Chip Stock Is the Better Buy?

The article compares Broadcom (NASDAQ: AVGO) and Marvell (NASDAQ: MRVL) as contenders in custom AI chips amid demand from AI infrastructure buildouts. It explains why application-specific integrated circuits (ASICs) can be more efficient than general-purpose processors, helping drive major hyperscalers toward in-house designs. Counterpoint Research estimates Broadcom will hold 60% of the custom AI chip market in 2027, while Marvell’s share is projected at 20% to 25%. Broadcom’s fiscal 2026 third-quarter revenue rose 86% year over year to $29.6 billion, including a 221% jump in AI semiconductor revenue to $16.7 billion. The piece also cites Broadcom’s expectations for continued growth, including AI chip revenue reaching $230 billion in fiscal 2028, with EPS potentially above $30.