Marvell to buy Lumentum in $115 billion all-stock deal
The deal aims to strengthen Marvell's position in optical components for AI data centres, and both firms share Nvidia as a strategic investor.
Key facts
Story- Marvell Technology plans to buy Lumentum in an all-stock deal valued at $115 billion.
- The deal is aimed at boosting Marvell's optical components output to meet AI data-centre demand.
- Both companies have Nvidia as a shared strategic investor, and the deal is due to close in 2028.
Marvell Technology has agreed to buy Lumentum in an all-stock transaction valued at $115 billion. The deal is one of the largest acquisitions in technology history.
The deal is paid entirely in Marvell shares. It is expected to close in the first half of 2028. The companies have not yet said what approvals are still needed.
Marvell said the acquisition would expand its production of optical components. These parts move data between machines using light, and they are needed as AI systems in data centres send ever more information. Marvell expects the larger business to meet that rising demand.
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The move is also meant to put Marvell in a stronger position against Broadcom, another large chipmaker active in the AI market.
Both companies have Nvidia as a strategic investor. That shared backer is the main link between the two firms besides their work in AI hardware.
It is not yet known what the combined company's ownership will be split after the deal, or what premium is offered to Lumentum shareholders. Lumentum's share price is also not given.
It is not yet clear what the deal will mean for customers, jobs or product plans at either company. Those details, and the regulatory review, are still to come.
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