News
Marvell acquires XConn Technologies for $540 million to bolster AI data center portfolio
Thursday, January 8, 2026 at 07:40 AM
Marvell has acquired XConn Technologies for 540 million dollars to strengthen its AI data center business operations, focusing on high-performance interconnect solutions.
Context
Marvell Technology has entered a definitive agreement to acquire XConn Technologies for approximately $540 million to dominate AI data center connectivity. The transaction, consisting of 60% cash and 40% stock, is slated to close in early calendar 2026. This acquisition follows the massive $3.25 billion purchase of Celestial AI in late 2025, underscoring Marvell's aggressive strategy to build a comprehensive scale-up fabric for massive AI clusters.
The deal integrates XConn’s industry-first hybrid PCIe and CXL switching silicon into Marvell's portfolio, specifically targeting the transition from single-rack to multi-rack AI deployments. This acquisition strengthens Marvell’s position in the Ultra Accelerator Link (UALink) open standard, facilitating low-latency communication between hundreds of accelerators. Management anticipates the acquisition will begin contributing to revenue in the second half of fiscal 2027, eventually reaching an estimated $100 million in annual sales by fiscal 2028.
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