optical interconnect

Semiconductor company Marvell announced a deal to acquire AI‑focused startup Celestial for an initial cash‑and‑stock price of at least $3.25 billion, potentially rising to $5.5 billion if revenue targets are met. The acquisition adds Celestial’s silicon‑photonic “photonic fabric” to Marvell’s networking portfolio, aiming to address optical‑interconnect bottlenecks in large‑scale AI training and inference. Marvell’s shares rose 13 % after a strong Q3 earnings report and a forecasted 25 % increase in data‑center revenue. The deal is expected to close early next year.