The news about MaxLinear acquires Silicon Motion for $ 3.8 billion it seems like an attempt to search for the riches of the hot data center market. MaxLinear, which supplies silicon for connectivity and infrastructure solutions, wants to acquire silicon for an SSD controller, a key component of data center electronics, to compete with Marvell’s.
Here it is worth mentioning that Taipei-based Silicon Motion offers customer-based SSD solutions, while Marvell is strong in both client and enterprise HDD solutions and SSD controllers. This means that MaxLinear and Silicon Motion will have to step into enterprise SSD solutions based on future types of 3D NAND devices to be competitive in the data center space.
According to Bloomberg, MediaTek, a developer of a system on chips (SoCs) for smartphones, tablets, computers and consumer electronics, is also interested in buying Silicon Motion, a developer of SSD controllers and turnkey solid state drives. This emphasizes the strategic importance of NAND flash controller technology in long-term storage requirements.
Combining semiconductors for networks and infrastructure with silicon for corporate storage seems to be a good addition to a diverse range of end markets, including data centers, smart homes and industrial applications. It is also a harbinger of another level of integration in the technology stack for both client and corporate designs.
And that probably sums up the story behind this deal for the semiconductor industry.