Infineon Technologies AG has entered into a definitive agreement to acquire Marvell Technology’s Automotive Ethernet business for US$2.5 billion in cash, a move that significantly enhances its position in the fast-evolving market for software-defined vehicles. The acquisition will reinforce Infineon’s leadership in automotive semiconductors, particularly complementing its market-leading microcontroller portfolio, and deepen its capabilities in low-latency, high-bandwidth communication — a cornerstone for modern automotive architectures and emerging technologies like humanoid robotics. The transaction is subject to customary regulatory approvals.
“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.”
Also Read: Seeing Machines Announces 3D Camera Technology for Next-Generation In-Cabin Monitoring Systems
Marvell’s Brightlane™ Automotive Ethernet portfolio includes PHY transceivers, switches, and bridges supporting speeds from 100 Mbps up to a market-leading 10 Gbps, while meeting stringent security and safety requirements for today’s complex in-vehicle networks. The business serves over 50 automotive manufacturers, including eight of the top ten OEMs, and holds a robust design-win pipeline of approximately US$4 billion through 2030.
Expected to generate US$225–250 million in revenue by 2025 with strong gross margins of around 60%, the acquisition positions Infineon to accelerate growth through expanded global reach, cost synergies, and deeper R&D integration. The Automotive Ethernet unit, with a workforce of several hundred skilled employees across the U.S., Germany, and Asia, will integrate into Infineon’s Automotive division upon close.
Combining Marvell’s Ethernet technology with Infineon’s AURIX™ microcontrollers creates a powerful solution suite to meet rising demands for real-time control, secure data networking, and advanced computing required for features like ADAS, autonomous driving, and OTA updates, reinforcing Infineon’s position at the forefront of automotive innovation.