Marvell Technology to buy rival chipmaker Cavium for $6 billion

Marvell Technology to buy rival chipmaker Cavium for $ 6 billionShares of Marvell were down 0.8 percent to $ 20.14, while Cavium was up 7 percent at $ 81.14 in early trading. Chief Executive Matthew Murphy, who took the top job a year ago, has been focusing on Marvell’s networking business to counteract declining demand for its chips used in hard disk drives of personal computers. Murphy last year replaced former CEO Sehat Sutardja and President Weili Dai – a husband-wife team who co-founded the company – after an audit committee questioned their management style and hedge fund investor Starboard Value LP made a host of demands.

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