Marvell Technology Group Ltd. has signed a definitive agreement to acquire Inphi Corp. and will reorganize the company so the combined semiconductor assets will have an enterprise value of about $40 billion.
Inphi makes high-speed electro-optics for cloud data centers and wired and wireless carrier networks. Combining these technologies with Marvell’s storage, networking, processor and security portfolio will give Marvell an end-to-end semiconductor platform for data infrastructure and 5G wireless infrastructure.
"Our acquisition of Inphi will fuel Marvell's leadership in the cloud and extend our 5G position over the next decade," said Matt Murphy, president and CEO of Marvell, in a statement.
Internet traffic growth and the rollout of 5G wireless networks, high-speed interconnect solutions will only accelerate, Marvell said. Machine learning and other data-driven workloads have expanded beyond the confines of the server and span the entire cloud data center. This means hyper-connectivity within the data center, putting electro-optical interconnects at the heart of the cloud architecture.
As Inphi’s interconnect solutions fit this market, the combine products with Marvell’s semiconductor portfolio will position the company for future growth in these high-volume markets, Marvell said.
