Marvell Technology reportedly in talks to buy Lumentum in all-stock AI deal

The chipmaker could gain control of laser and optics technology that is sold out for years, but Breakingviews warns the price may outrun the payoff Marvell Technology is reportedly in advanced talks to acquire Lumentum Holdings, the laser and optical components maker whose products help shuttle data around AI data centers. Bloomberg reported the discussions on Wednesday, October 28, 2026. It said an all-stock deal could be announced as soon as the week of November 3. What’s on the table Lumentum’s market capitalization is estimated at roughly $83 to $85 billion. Marvell itself is valued somewhere between $196 and $221 billion, based on figures at the time of the report. The strategic logic is fairly clean. Marvell makes digital signal processors, the chips that clean up and interpret signals moving through high-speed networks. Lumentum makes the lasers and optics that turn those signals into light and send them across fiber. A sold-out supplier with a famous shareholder Lumentum is not a company struggling to find customers. Earlier in October, CEO Michael Hurlston said key optical products are sold out until early 2029. He also pointed to a significant supply shortfall for certain...