GoKawiilShares of Marvell Technology surged 8% after Nvidia announced plans to invest $2 billion in the semiconductor company as businesses race to meet ballooning artificial intelligence demand.
"Marvell is a marvelous investment," Nvidia CEO Jensen Huang told CNBC's "Squawk on the Street" on Tuesday. "Been dying to say that."
The deal ties Marvell into Nvidia's AI ecosystem, making it easier for customers to build on the infrastructure. Both companies will also join forces on silicon photonics technology and AI-focused telecommunications infrastructure.
Nvidia has made a string of $2 billion bets on technology companies in recent months.
That includes investments in Synopsys , CoreWeave , Coherent and Lumentum . Most recently, Nvidia invested $2 billion in Nebius Group . The AI cloud company on Tuesday revealed plans to build one of Europe's largest datacenters.
Huang said each of the deals is "an expansion of our ecosystem."