2026-02-02, 7:20:16 a.m.
February 2, 2026 — Leads & Copy —
Marvell Technology, Inc. (NASDAQ: MRVL) has completed its acquisition of Celestial AI, according to a recent announcement. The acquisition aims to bolster Marvell’s position in interconnect technologies for AI and cloud data centers.
Celestial AI is known for its Photonic Fabric™ optical interconnect technology, which supports high-bandwidth and low-latency connectivity for large-scale AI deployments. Marvell anticipates that incorporating Celestial AI’s technology will lead to more integrated, high-bandwidth, and power-efficient solutions for data center customers. This move is expected to establish the combined entity as a technology leader in the scale-up interconnect market, creating a new total addressable market (TAM).
Matt Murphy, Chairman and CEO of Marvell, stated that Celestial AI would help advance Marvell’s strategy to deliver data infrastructure platforms. He noted the increasing demand for innovative connectivity solutions as AI systems grow in scale and complexity. Murphy also expressed enthusiasm for welcoming the Celestial AI team to Marvell.
Celestial AI’s team and technologies will be integrated into Marvell’s Data Center Group to enhance connectivity capabilities for AI systems.
Marvell anticipates initial revenue contributions from Celestial AI in the second half of fiscal 2028, with a significant ramp-up expected in the fourth quarter, reaching an annualized run rate of $500 million. By the fourth quarter of fiscal 2029, revenue is projected to double to a $1 billion annualized run rate.
The acquisition is projected to increase Marvell’s annual non-GAAP operating expenses by approximately $50 million. The completion of the acquisition reduced Marvell’s cash balance by $1 billion, leading to a decrease in expected interest income and a subsequent reduction in the company’s Other Income by around $38 million annually. Additionally, Marvell issued equity to finalize the acquisition, which increased the company’s diluted weighted-average shares outstanding by approximately 27 million shares.
To deliver the data infrastructure technology that connects the world, we’re building solutions on the most powerful foundation: our partnerships with our customers. Trusted by the world’s leading technology companies for over 30 years, we move, store, process and secure the world’s data with semiconductor solutions designed for our customers’ current needs and future ambitions. Through a process of deep collaboration and transparency, we’re ultimately changing the way tomorrow’s enterprise, cloud and carrier architectures transform—for the better.
Source: Marvell Technology, Inc.
