Integrated silicon solutions specialist Marvell has announced it is acquiring data movement specialist Inphi for $10 billion.

Marvell has long specialised in providing processors for the cloud computing platforms and data centres, and the Inphi cash-and-stock deal will see it bolster its credentials in moving large amounts of data, as well as 5G.

The acquisition is the latest development after a splurge of consolidation in the chip sector of late. Earlier this week Advanced Micro Devices (AMD) confirmed it is purchasing HPC leader Xilinx for a hefty $35 billion.

Inphi deal

Other significant deals has seen Nvidia in September acquire UK-based chip designer ARM for $40 billion (£31.2bn).

That came after four years after SoftBank had acquired ARM for $32bn.

As part of Marvell’s acquisition of US-based Inphi, which has been unanimously approved by the boards of directors of both companies, Marvell intends to reorganise so that the combined company will be domiciled in the United States, which it says will create a “US semiconductor powerhouse with an enterprise value of approximately $40 billion.”

Marvell is headquartered in Silicon Valley, but is currently domiciled in Bermuda. This will change going forward.

So why Inphi?

Well that firm has specialised in offering a high-speed data interconnect platform uniquely suited for speedy transfer of large data sets.

Cloud data centres

“Inphi’s high-speed electro-optics portfolio provides the connectivity fabric for cloud data centres and wired and wireless carrier networks, just as Marvell’s copper physical layer portfolio does for enterprise and future in-vehicle networks,” said Marvell.

It feels that Inphi’s tech will combine well with Marvell’s storage, networking, processor, and security portfolio, giving the combined company “leadership in data 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.

“Inphi’s technologies are at the heart of cloud data centre networks and they continue to extend their leadership with innovative new products, including 400G data centre interconnect optical modules, which leverage their unique silicon photonics and DSP technologies,” said Murphy. “We believe that Inphi’s growing presence with cloud customers will also lead to additional opportunities for Marvell’s DPU and ASIC products.”

“Marvell and Inphi share a vision to enable the world’s data infrastructure and we have both transformed our respective businesses to benefit from the strong secular growth expected in the cloud data center and 5G wireless markets” added Ford Tamer, President and CEO of Inphi.

Tamer will join Marvell’s Board of Directors.

There is no news on any possible redundancies.

Tom Jowitt

Tom Jowitt is a leading British tech freelancer and long standing contributor to Silicon UK. He is also a bit of a Lord of the Rings nut...

Recent Posts

TikTok US Sales ‘Hit $16bn’, ByteDance Nears Meta In World Revenues

TikTok reportedly brought in $16bn in US last year, while parent ByteDance made $120bn worldwide,…

18 hours ago

Bankman-Fried Deserves Up To 50 Years In Jail, Prosecutors Say

Ahead of sentencing prosecutors argue ex-FTX boss Sam Bankman Fried deserves up to 50 years…

19 hours ago

Senators Take Up TikTok Bill After Italy Fine Over Harmful Content

Senators consider bill restricting TikTok after rapid House approval, as Italy competition regulator fines company…

19 hours ago

AI Security Company Backtracks On UK Testing Claims

Security company Evolv backtracks on claims UK government tested its controversial AI security scanning systems

20 hours ago

Norfolk County Council Wins $490m Payout From Apple

Apple agrees to $490m settlement of class-action lawsuit led by Norfolk County Council for allegedly…

20 hours ago

McDonald’s International Outage Caused By Third Party

McDonald's says outage affecting thousands of locations across world caused by third-party tech provider carrying…

21 hours ago