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Marvell Completes Acquisition of Celestial AI
Businesswire· 2026-02-02 14:10
Core Insights - Marvell Technology, Inc. has completed the acquisition of Celestial AI, enhancing its capabilities in optical interconnect technology for AI deployments [1][2][3] Group 1: Acquisition Details - The acquisition of Celestial AI strengthens Marvell's leadership in interconnect technologies essential for next-generation AI and cloud data center architectures [2] - Celestial AI's Photonic Fabric technology will be integrated into Marvell's Data Center Group, enhancing end-to-end connectivity capabilities [3] Group 2: Financial Impact - Initial revenue contributions from Celestial AI are expected to begin in the second half of fiscal 2028, with a projected annualized run rate of $500 million by the fourth quarter of fiscal 2028 [4] - Revenue is anticipated to double to a $1 billion annualized run rate by the fourth quarter of fiscal 2029 [4] - The acquisition will add approximately $50 million in annual non-GAAP operating expenses and reduce Marvell's cash balance by $1 billion, impacting future interest income [5]