1115 GMT - Infineon Technologies' acquisition of Marvell's automotive ethernet business should support market expansion, Jefferies analysts Janardan Menon and Om Bakhda write in a note. Marvell's auto ethernet business is strategically compelling, the analysts say. German semiconductor maker Infineon agreed to buy the automotive division of U.S. rival Marvell Technology for $2.5 billion to benefit from its ethernet technology. The transaction will help raise gross margins of the auto business, they add. By buying Marvell's automotive ethernet business, Infineon will be able to provide the connectivity side of the equation, while offering a system solution that should help further market share gain in microcontroller units, connectivity and automotive semiconductors, they say. Infineon shares are up 0.9% at 25.35 euros. (najat.kantouar@wsj.com)
(END) Dow Jones Newswires
April 08, 2025 07:16 ET (11:16 GMT)
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