Marvell Technology shares dropped about 8% in premarket trade Monday after Anthropic CEO Dario Amodei said advanced artificial intelligence systems should be developed more slowly. The selloff hit Marvell because many of the semiconductor company's development opportunities are tied to the infrastructure being built around artificial intelligence, and a slower development cycle could mean less need for networking, memory and connectivity devices in AI data centers. Marvell will showcase its AI data-center connectivity and memory portfolio at the AI Infra Summit in Santa Clara from September 15 to 17, giving investors a near-term look at how aggressively it is positioning itself for further infrastructure spending. Wall Street remains broadly upbeat, with TipRanks reporting 22 Buy recommendations and five Holds and an average price target of $298.38. Investors are putting increasing weight on this week's conference, as Marvell needs to show that demand for AI infrastructure is still strong enough to withstand a wider debate over how fast the industry should move.
Marvell Technology Group LtdAnthropic CEO's call to slow AI development could reduce demand for Marvell's AI data-center networking, memory and connectivity devices.
Anthropic's CEO is quoted urging slower AI development, but the article does not assess any impact on Anthropic itself.
