Infineon further strengthens its number one position in automotive microcontrollers and boosts systems capabilities for software-defined vehicles with acquisition of Marvell’s Automotive Ethernet business
Infineon Technologies AG (IFNNY) has entered into a definitive agreement to acquire Marvell Technology's Automotive Ethernet business for US$2.5 billion in cash. The acquisition strengthens Infineon's position as the global leader in automotive semiconductors and enhances its capabilities for software-defined vehicles.
The acquired business is expected to generate revenue of US$225-250 million in calendar year 2025 with a gross margin of around 60%. Marvell's Brightlane™ Automotive Ethernet portfolio includes PHY transceivers, switches, and bridges supporting network data rates up to 10 Gbps. The business serves over 50 automotive manufacturers and has a design-win pipeline of approximately US$4 billion until 2030.
The all-cash transaction will be financed through existing liquidity and additional debt, with closing expected within calendar year 2025, subject to regulatory approvals.
Infineon Technologies AG (IFNNY) ha stipulato un accordo definitivo per acquisire il business Automotive Ethernet di Marvell Technology per 2,5 miliardi di dollari USA in contante. Questa acquisizione rafforza la posizione di Infineon come leader globale nei semiconduttori per l'automotive e migliora le sue capacità per i veicoli definiti dal software.
Si prevede che il business acquisito genererà ricavi di 225-250 milioni di dollari USA nell'anno solare 2025, con un margine lordo di circa il 60%. Il portafoglio Brightlane™ Automotive Ethernet di Marvell include transceiver PHY, switch e bridge che supportano velocità di rete fino a 10 Gbps. L'azienda serve oltre 50 produttori automobilistici e ha un pipeline di design-win di circa 4 miliardi di dollari USA fino al 2030.
La transazione interamente in contante sarà finanziata attraverso la liquidità esistente e ulteriore debito, con la chiusura prevista entro l'anno solare 2025, soggetta ad approvazioni normative.
Infineon Technologies AG (IFNNY) ha firmado un acuerdo definitivo para adquirir el negocio de Ethernet Automotriz de Marvell Technology por 2.5 mil millones de dólares estadounidenses en efectivo. Esta adquisición fortalece la posición de Infineon como líder mundial en semiconductores automotrices y mejora sus capacidades para vehículos definidos por software.
Se espera que el negocio adquirido genere ingresos de 225-250 millones de dólares estadounidenses en el año calendario 2025, con un margen bruto de aproximadamente el 60%. El portafolio Brightlane™ de Ethernet Automotriz de Marvell incluye transceptores PHY, interruptores y puentes que soportan tasas de datos de red de hasta 10 Gbps. El negocio atiende a más de 50 fabricantes de automóviles y tiene un pipeline de diseño de aproximadamente 4 mil millones de dólares estadounidenses hasta 2030.
La transacción, que será en efectivo, se financiará a través de liquidez existente y deuda adicional, con un cierre previsto para el año calendario 2025, sujeto a aprobaciones regulatorias.
인피니언 테크놀로지스 AG (IFNNY)는 마벨 테크놀로지의 자동차 이더넷 사업을 25억 달러에 현금으로 인수하기로 확정 계약을 체결했습니다. 이번 인수는 인피니언의 자동차 반도체 분야에서의 글로벌 리더십을 강화하고 소프트웨어 정의 차량에 대한 역량을 향상시킵니다.
인수된 사업은 2025년 캘린더 연도에 2억 2500만~2억 5000만 달러의 수익을 창출할 것으로 예상되며, 약 60%의 총 마진을 기록할 것으로 보입니다. 마벨의 Brightlane™ 자동차 이더넷 포트폴리오는 최대 10 Gbps의 네트워크 데이터 전송 속도를 지원하는 PHY 트랜시버, 스위치 및 브리지를 포함하고 있습니다. 이 사업은 50개 이상의 자동차 제조업체에 서비스를 제공하며, 2030년까지 약 40억 달러의 디자인 수익 파이프라인을 보유하고 있습니다.
이번 전액 현금 거래는 기존 유동성과 추가 부채를 통해 자금을 조달할 예정이며, 2025년 캘린더 연도 내에 마감될 것으로 예상되며, 규제 승인에 따라 달라질 수 있습니다.
Infineon Technologies AG (IFNNY) a conclu un accord définitif pour acquérir le secteur Automotive Ethernet de Marvell Technology pour 2,5 milliards de dollars américains en espèces. Cette acquisition renforce la position d'Infineon en tant que leader mondial des semi-conducteurs pour l'automobile et améliore ses capacités pour les véhicules définis par logiciel.
Le secteur acquis devrait générer des revenus de 225-250 millions de dollars américains pour l'année civile 2025, avec une marge brute d'environ 60%. Le portefeuille Brightlane™ Automotive Ethernet de Marvell comprend des transceivers PHY, des commutateurs et des ponts supportant des débits de données réseau allant jusqu'à 10 Gbps. Le secteur dessert plus de 50 fabricants automobiles et dispose d'un pipeline de gains de conception d'environ 4 milliards de dollars américains d'ici 2030.
La transaction entièrement en espèces sera financée par la liquidité existante et un endettement supplémentaire, avec une clôture prévue au cours de l'année civile 2025, sous réserve des approbations réglementaires.
Infineon Technologies AG (IFNNY) hat eine endgültige Vereinbarung zum Erwerb des Automotive Ethernet-Geschäfts von Marvell Technology für 2,5 Milliarden US-Dollar in bar getroffen. Der Erwerb stärkt die Position von Infineon als globalen Marktführer in der Automobil-Halbleiterindustrie und verbessert die Fähigkeiten für softwaredefinierte Fahrzeuge.
Das erworbene Geschäft wird voraussichtlich im Kalenderjahr 2025 Umsätze von 225-250 Millionen US-Dollar mit einer Bruttomarge von etwa 60% generieren. Das Brightlane™ Automotive Ethernet-Portfolio von Marvell umfasst PHY-Transceiver, Switches und Bridges, die Netzwerkdatenraten von bis zu 10 Gbps unterstützen. Das Geschäft bedient über 50 Automobilhersteller und verfügt über eine Design-Win-Pipeline von etwa 4 Milliarden US-Dollar bis 2030.
Die vollständig in bar abgewickelte Transaktion wird durch bestehende Liquidität und zusätzliche Schulden finanziert, wobei der Abschluss im Kalenderjahr 2025 erwartet wird, vorbehaltlich der Genehmigungen durch die Aufsichtsbehörden.
- Strong gross margin of 60% expected from the acquired business
- Significant design-win pipeline of US$4 billion until 2030
- Strengthens market leadership in automotive microcontrollers
- Expands customer base to include 8 of 10 leading automotive OEMs
- Expected revenue contribution of US$225-250 million by 2025
- Substantial debt increase required to finance the US$2.5 billion acquisition
- Integration risks with existing operations
- Regulatory approval uncertainty could delay closing
Insights
Infineon's
The transaction strengthens Infineon's already dominant position in automotive semiconductors while expanding into higher-margin Ethernet connectivity solutions essential for software-defined vehicles. The all-cash structure, financed through existing liquidity and additional debt, indicates strong balance sheet capacity despite the significant outlay.
This acquisition addresses multiple financial priorities: it enhances Infineon's growth profile in high-value automotive applications, improves margin potential, and creates numerous cross-selling opportunities with their AURIX microcontroller business. The expected cost synergies from combined R&D and leveraging Infineon's production capabilities should further improve returns. While the transaction will temporarily increase leverage, the strong strategic fit and margin profile justify the financial commitment.
This acquisition positions Infineon at the critical intersection of computational power and high-speed communication for next-generation vehicles. By combining market-leading microcontrollers with Marvell's benchmark Automotive Ethernet technology, Infineon is transforming from a component supplier into a comprehensive systems solution provider.
The strategic brilliance is in the timing – automotive architectures are shifting from distributed to centralized computing nodes requiring high-bandwidth, deterministic networking. Marvell's Brightlane portfolio, supporting data rates from 100Mbps to industry-leading 10Gbps, provides precisely the communication backbone needed for advanced driver assistance, autonomous driving, and over-the-air software updates.
What's particularly valuable are the security and safety features within Marvell's Ethernet technology – essential for automotive qualification and increasingly mandated by regulations. The existing relationships with eight of the top ten automotive OEMs and over 50 manufacturers provide immediate scale advantages difficult for competitors to match.
The mention of applications in humanoid robots reveals a broader strategic vision beyond automotive – positioning Infineon for the emerging physical AI market where similar high-reliability networking is essential. This acquisition isn't merely additive but multiplicative – creating system-level solutions where the combined technologies deliver more value than individual components could separately.
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Infineon enters into agreement for acquisition of Marvell Technology’s Automotive Ethernet business for
US $2.5 billion - Transaction combines Infineon’s market-leading portfolio for automotive microcontrollers with benchmark Automotive Ethernet business of Marvell, accelerating Infineon’s system capabilities for software-defined vehicles
- Additional growth opportunities to address future IoT applications such as humanoid robots
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Business expected to generate revenue of
US –$225 US in calendar year 2025 with a gross margin of around$250 million 60% - All-cash transaction to be financed from existing liquidity and additional debt
NEUBIBERG,
“The acquisition is a great strategic fit for Infineon as the global number one provider of semiconductor solutions to the automotive industry,” says Jochen Hanebeck, CEO of Infineon. “We will leverage this highly complementary Ethernet technology by combining it with our existing, broad product portfolio to provide our customers with even more comprehensive, leading solutions for software-defined vehicles. The transaction will support our profitable growth strategy going forward, including new opportunities in the field of physical AI such as humanoid robots.”
Marvell’s leading Brightlane™ Automotive Ethernet portfolio of PHY transceivers, switches and bridges supports network data rates ranging from today’s 100 Mbps (megabits per second) up to market-leading 10 Gbps (gigabits per second). It also supports the security and safety features required for today’s and tomorrow’s in-vehicle networks.
Among the customers of Marvell’s Automotive Ethernet business are more than 50 automotive manufacturers, including eight of the ten leading OEMs. The strong customer relationships are backed by a design-win pipeline of around
Ethernet connectivity solutions are vital to software-defined vehicles and are the basis for highly efficient E/E-architectures comprising central compute, zones and endpoints. Sophisticated features such as advanced driver-assistance systems, autonomous driving, and over-the-air software updates require massive amounts of secure data processing, networking and storage. The combination with the Infineon AURIX™ microcontroller family creates a comprehensive product offering combining communications solutions as well as real-time control. The acquisition is intended to further strengthen Infineon’s number one position in microcontrollers.
Infineon will use existing liquidity and will incur additional debt in order to fund the planned acquisition of Marvell’s Automotive Ethernet business in an all-cash transaction. Infineon has secured acquisition financing from banks. The transaction is subject to customary closing conditions, including regulatory approvals, and is expected to close within calendar year 2025.
Infineon will host a telephone conference call including a webcast for analysts and investors, scheduled for Tuesday, 8th April at 8:30 am (CEST). During the call, Infineon management will comment on the strategic rationale and financial aspects of the transaction and answer related questions. A replay of the conference call will be available for download on Infineon’s website at www.infineon.com/investor.
About Infineon
Infineon Technologies AG is a global semiconductor leader in power systems and IoT. Infineon drives decarbonization and digitalization with its products and solutions. The Company had around 58,060 employees worldwide (end of September 2024) and generated revenue of about
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Press Contact:
Andre Tauber
Head of Corporate Media Relations
Infineon Technologies AG
+49 89 234 36705
Andre.Tauber@infineon.com
Source: Infineon Technologies AG
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