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Marvell Technology Sells Automotive Ethernet Business for $2.5 Billion

Marvell Technology, Inc. has announced the sale of its automotive ethernet business to Infineon Technologies AG for a whopping $2.5 billion in cash. This move is expected to generate revenue in the range of $225-250 million for Marvell in fiscal 2026.

The company's data center end market has been a significant driver, contributing to 75% of consolidated revenue in the fiscal fourth quarter of 2025. This indicates a substantial focus on the data infrastructure solutions segment.

Marvell's Chairman and CEO, Matt Murphy, expressed confidence in the transaction, emphasizing its financial return for shareholders. The sale is expected to position the automotive ethernet business for continued growth and success within Infineon's optimized platform for automotive applications.

Marvell plans to discuss the transaction during its upcoming conference call to review the first quarter of fiscal 2026 financial results, scheduled for Thursday, May 29, 2025, at 1:45 p.m. Pacific Time.

The market has reacted to these announcements by moving the company's shares -2.6% to a price of $49.67. For the full picture, make sure to review Marvell Technology's 8-K report.

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