Marvel Technologies said Tuesday that it had signed an agreement to acquire network component provider Inovium in a $ 1.1 billion worth of all-stock transaction. Marvell’s primary interest in Innovium revolves around switching architectures in cloud and edge data centers. It will be used by Marvell to enhance its networking portfolio for cloud computing customers.
Marvel’s acquisition of Innovium is the second acquisition in less than a year with a focus on networking spaces. In October, Marvel acquired Inphi, the developer of optical networking chips used in wired and wireless carrier networks for cloud data centers and 5G infrastructure, in a $ 10 billion transaction, suggesting further integration of the semiconductor industry. Did.
Marvel said the acquisition of Inphi would create a semiconductor “powerhouse” with a corporate value of about $ 40 billion. Technically, Marvel planned to combine its storage, networking, processor, and security portfolio with Inphi’s electro-optic interconnection platform.
Going forward, Marvel plans to integrate Innovium and Inphi products to develop performance-optimized switch silicon for use in hyperscale data centers.
Marvel also announced that Innovium has been selected as a leading technology supplier by Tier 1 cloud customers, and that the transaction will spur significant revenue growth in the 2022 calendar.
According to Marvel, Innovium is also discussing future network architecture construction with other cloud data center customers.
“We are pleased that the acquisition of Innovium and its complementary products has further expanded Marvell’s leadership in the cloud and has gained a significant share of Marvell’s customers in Marvell,” said Matt Murphy, CEO of Marvell. increase. “Innovium has established itself as a powerful cloud data center merchant switch silicon provider with a proven platform and has worked with a talented team with a strong track record in the industry for generations. We look forward to providing a very successful product. “
Marvel expects the acquisition of Innovium to add approximately $ 150 million in incremental revenue next year.
https://www.zdnet.com/article/marvell-acquires-networking-component-provider-innovium-for-1-1-billion/#ftag=RSSbaffb68 Marvel Acquires Networking Component Provider Inovium for $ 1.1 Billion