The deal includes Marvell’s Brightlane Automotive Ethernet portfolio and related assets and is expected to be completed by the end of 2025.
Commenting on the deal Infineon’s CEO, Jochen Hanebeck, said that the company would leverage the acquired Ethernet technology to deliver advanced solutions for software-defined vehicles and highlighted that Marvell’s Automotive Ethernet business currently serves more than 50 automotive manufacturers – demonstrating both its strong market presence and strategic value to Infineon’s automotive portfolio.
Ethernet is a key enabling technology for low-latency, high-bandwidth communication, and while it is crucial for software-defined vehicles it also has significant potential in adjacent fields of use such as humanoid robots.
The planned investment will strengthen Infineon’s already strong footprint in the US, including extensive R&D activities.
Marvell has firmly positioned itself as an AI-centric company, with a focus on custom silicon and networking solutions, so its decision to sell its automotive Ethernet is not a surprise considering it’s no longer a core focus.
The automotive sector has recently been a weak point in the semiconductor industry, partly due to slowing electric vehicle sales, while Marvell has become a major player in data infrastructure, a segment that grew 78% in the fourth quarter.
“The acquisition is a great strategic fit for Infineon,” said Hanebeck. He continued, “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 Brightlane Automotive Ethernet portfolio comprises of PHY transceivers, switches and bridges and supports network data rates ranging from 100 Mbps (megabits per second) up to market-leading 10 Gbps (gigabits per second). It also supports the security and safety features required for in-vehicle networks.
Marvell’s Automotive Ethernet business has a design-win pipeline of around $4 billion until 2030 and a strong innovation roadmap, paving the way for future revenue growth.
The business is expected to generate revenue of $225-250 million in 2025, while additional cost synergies are expected from combining R&D forces and leveraging Infineon production reach.
Marvell’s Automotive Ethernet business comes with several hundred highly skilled employees, with main offices in the US, Germany and Asia, and it will become part of Infineon’s Automotive division once the deal is completed.
