Marvell Technology shares plummeted more than 19% after the chipmaker’s guidance fell short of some elevated buyside estimates.

For the first fiscal quarter, the chipmaker said it expects sales of about $1.88 billion. That was just ahead of the $1.87 billion expected by analysts polled by LSEG. However, the outlook fell short of some buyside expectations calling for around $2 billion in revenue, disappointing investors after the stock soared 83% in 2024.

The results fueled some concerns about Marvell’s partnership with Amazon Web Services on its Trainium AI chip, and the potential lack of upside for Marvell’s custom application-specific integrated circuits business.

“Solid numbers missed the high watermark set by the rest of the AMZN supply chain,” wrote Barclays analyst Tom O’Malley in a note after the report. “While the company continues to sound good re: the future of their ASIC prospects, the AMZN numbers near term are a bit lower, which is the real sticking point for a market punishing anything not perfect in AI.”

Marvell is known for creating customized chips and hardware used in data centers, networking and infrastructure. The company has benefited from the artificial intelligence boon that has lifted the sector, but chipmakers now face elevated expectations for financial performance.

For the fourth quarter, Marvell reported adjusted earnings per share of 60 cents and revenue of $1.82 billion. That was slightly ahead of the earnings per share estimate of 59 cents and $1.80 billion revenue prediction, according to LSEG.

Data centers revenue came in at $1.37 billion, beating the $1.36 billion average estimate.

Other semiconductor stocks slumped alongside Marvell, with the VanEck Semiconductor ETF last down 4%. AI chip leader Nvidia and Broadcom dropped more than 5% each. Taiwan Semiconductor fell nearly 4%.

— CNBC’s Kristina Partsinevelos contributed reporting.

Amazon’s cloud unit said Thursday that it’s launching a service to allow video game publishers to stream their games online.

GameLift Streams will deliver games to any device with a browser that supports the WebRTC standard, Amazon said in a blog post. That includes smart TVs, phones, tablets and PCs. One way the service can be used is to rapidly distribute titles in development to testers, and then securely remove access later.

“Lots of AAA games are using the service in that regard,” Chris Lee, general manager and head of immersive technologies at Amazon Web Services, told CNBC. A handful of companies, such as Electronic Arts and Take-Two Interactive, invest heavily in top-flight games with high production quality.

AWS generates a considerable amount of its revenue from core services such as renting out access to server and storage space, with data centers located around the world. But the company has hundreds of other services available to software developers. For the past decade, AWS has served as Amazon’s main profit engine.

Jackbox Games, a developer of casual games such as “Quiplash” and “Fibbage,” plans to rely on GameLift Streams to release a game-streaming service that will provide access to many of its titles. Jackbox’s games are currenlty available for an upfront fee.

Evan Jacover, Jackbox’s technology chief, said his company looked into building its own technology for streaming but decided to go with AWS after learning of its plans.

“It’s not a core competency at Jackbox Games,” Jacover said, adding the startup had a proof of concept, or POC. “We got a POC up, but it wasn’t efficient to get it really working well.”

Jackbox’s goal is to release an early ad-supported version of its service in the first half of the year, with more games and a subscription option to follow. Because the company’s games aren’t heavy on graphics, they don’t have major latency concerns and can work well on streaming.

Amazon GameLift Streams supports 1080p resolution at 60 frames per second.

“That’s kind of the sweet spot when we talk to customers,” Lee said.

Microsoft’s Xbox Series X and Sony’s PlayStation 5 Pro can go up to 4K resolution and 120 frames per second, accommodating more advanced video. But modern game consoles cost hundreds of dollars.

The cost of GameLift Streams is based on which Nvidia graphics processing units customers use, along with consumption of storage for game data. Games can run on Windows or Linux. No modifications are required to integrate the service, the blog post said.

WATCH: Growth in AWS is key to Amazon’s earnings story, says Truist Securities’ Youssef Squali

BARCELONA — China’s Huawei isn’t the only smartphone maker adding a third display to its devices.

At the Mobile World Congress (MWC) trade show in Barcelona, a number of firms were showing off their display technology innovations.

The South Korean tech giant Samsung revealed its new “trifold” concept devices at the event: the Flex G and Flex S.

The Flex G has three screens and folds flat inwards and outwards, a bit like a book. The Flex S, on the other hand, has a more zigzag-like shape. It’s meant to resemble an “S” — hence the name.

It comes after Chinese tech giant Huawei last month launched its new Mate XT, a 3,499 euro ($3,678.56) smartphone with three screens, in international markets.

Samsung stressed that its Flex G and S models were only concept devices — so don’t expect to find them on shelves anytime soon.

Still, it’s a sign of where smartphone makers are seeing the next wave of innovation.

On Tuesday, British consumer tech startup Nothing launched its new Phone (3a), a 329-euro ($356.28) budget model with a quirky design and LED light system that lights up when you get calls or notifications.

Nothing co-founder Akis Evangelidis — who is planning a move to India as the startup plans an aggressive expansion push in the country — told CNBC the company is trying to shake up the smartphone market with something more fun and unique.

Using the Indian market as an example, Evangelidis said: “People are walking away from pure functional needs when it comes to product. They aspire to brands that have more of an emotional benefit, and I think that’s where the opportunity is.”