Marvell Technology executives detailed the company's expanding role in AI data center infrastructure at the Citi Global TMT Conference. Chairman and CEO Matt Murphy stated Marvell targets approximately $12 billion in revenue this year. The company projects a significant increase to $18 billion next year. Strong AI sector demand and expanded supply-chain capacity drive these targets.
The company identified AI networking, optical connectivity, and custom silicon as key growth areas. Marvell sees strong opportunities in the transition from 800G to 1.6T data-center interconnects. CFO Dan Durn added that operating expenses will grow at about half the rate of revenue. This growth rate will create operating leverage and improve profitability. Marvell anticipates exiting the current year within its long-term operating margin target of 38% to 40%.