Marvell (MRVL) stock fell 11% on Thursday after reports the AI chipmaker is in advanced talks to buy optical parts maker Lumentum (LITE), while Lumentum shares rose 5%. Bloomberg, citing people familiar with the matter, reported the potential multibillion-dollar deal could be announced as soon as next week. Lumentum has a market value of about $83 billion, versus roughly $221 billion for Marvell. The acquisition would give Marvell greater access to optical technologies and manufacturing capacity, which the article describes as critical bottlenecks in AI infrastructure. Marvell shares are up more than 190% year to date, and Lumentum shares have rallied 140%.
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mergers and acquisitionssemiconductorsartificial intelligenceMarvellLumentum
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NVDA
• NeutralNvidia
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Semiconductors |
| Market cap | $5.1T |
| Close on 10/28/2026 | 215.39 |
| Change that session | -1.17% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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Bloomberg reported on October 28 that Marvell is in advanced discussions to acquire Lumentum, though no definitive agreement has been announced. Lumentum shares rose sharply on the news while Marvell fell in after-hours trading, and Coherent gained about 3.5% after hours. Per Bloomberg’s October 9 report, Lumentum’s optical capacity is effectively sold out through early 2029, and CEO Michael Hurlston said the company could not meet about 70% of expected demand for certain products through 2027. The article argues that a Marvell–Lumentum deal could make Coherent’s independent manufacturing more valuable, especially since Nvidia has invested $2 billion in Coherent.
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