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
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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