Driven by A.I. Boom, Marvell and Lumentum Announce $115 Billion Merger

Marvell and Lumentum said they were combining, in a major bet on a technology known as optical networking that is increasingly being used in A.I. data centers.

Marvell Technology on Monday announced a $115 billion stock swap to buy Lumentum Holdings, in a major bet that a technology known as optical networking will be crucial to the build-out of data centers for artificial intelligence.

The transaction between the two Silicon Valley companies, which includes Lumentum's debt, would rank as the largest ever by value between publicly held tech companies.

Marvell makes an array of chips for networking and A.I. The 31-year-old company has been growing rapidly by acquisition since Matthew Murphy joined it as chief executive in 2016.

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