Marvell Technology Inc. Announces Sale of Automotive Ethernet Business
Marvell Technology Inc. has entered into a definitive agreement with Infineon Technologies AG to sell its Automotive Ethernet business. The transaction involves a cash payment of $2.5 billion.
Key Terms of the Agreement
- The sale price is $2.5 billion in cash
- The transaction is subject to regulatory approvals
- Completion of the deal is expected by 2025
Rationale Behind the Acquisition
Infineon Technologies AG will acquire Marvell’s Automotive Ethernet business to strengthen its position in the automotive microcontroller market and enhance its capabilities for software-defined vehicles.
Future Outlook
The transaction is seen as a strategic move by Infineon to expand its offerings and address future IoT applications.