Marvell is sitting on an incredibly ‘sticky’ business that could help it unlock a $30 billion opportunity

Marvell Technology is widely recognized for its custom silicon business, designing specialized chips for large cloud and enterprise customers. However, one analyst suggests the company's less-publicized supporting components and optical networking segment may carry greater long-term potential, pointing to what could become a $30 billion opportunity.

The appeal lies in how "sticky" this business is. Once optical networking components and related support parts are designed into a customer's infrastructure, switching them out is costly and disruptive, which can translate into durable, recurring revenue rather than one-off chip sales. That distinction matters for investors evaluating the stability of Marvell's earnings mix.

What to watch: how quickly Marvell converts this opportunity into reported revenue, whether customer concentration remains a risk, and how competitors position themselves in optical networking. The analyst's thesis is a projection, not a guarantee — the $30 billion figure represents an estimated opportunity, not confirmed bookings. For now, the takeaway is that Marvell's story may extend beyond custom chips, with its stickier supporting business serving as a potential differentiator.