Cavium

Cavium

Cavium Networks develops and markets semiconductor processors for intelligent and secure networks.

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More about Cavium
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Cavium, Inc. operated as a fabless semiconductor company, establishing a significant footprint in the market for network, video, and security processors prior to its acquisition. The company was founded in 2000 by Syed B. Ali and M. Raghib Hussain. Ali, with a background in electrical engineering from Osmania University in India and the University of Michigan, brought business acumen from his time at Malleable Technologies, Samsung Electronics, and other tech firms. Hussain provided a strong engineering background, with a degree in Computer Systems Engineering from NED University in Pakistan and a Master's in Computer Engineering from San Jose State University.

The company's business model was centered on designing and developing high-performance, integrated semiconductor products, while outsourcing the manufacturing, assembly, and testing to third-party foundries. Cavium's revenue was generated through the sale of its processors and board-level products to a specialized client base, primarily providers of networking, wireless, storage, and consumer electronic equipment. Its main distribution channels included a direct sales and support team, as well as third-party distributors.

Cavium's product portfolio was extensive, featuring system-on-a-chip (SoC) solutions that offered a range of secure and intelligent functionalities. Key product lines included the OCTEON multi-core processors, based on the MIPS architecture, and the ThunderX family of ARM-based server processors. These products were designed for use in enterprise, data center, and service provider equipment. The company's processors were known for enabling functionalities from 1Gbps to 100Gbps. A major milestone for Cavium was its initial public offering in May 2007. The company also grew through a series of strategic acquisitions, including MontaVista Software in 2009 and Xpliant, Inc. in 2014, which expanded its software and switching capabilities, respectively.

In a significant move for the semiconductor industry, Marvell Technology Group announced its agreement to acquire Cavium in November 2017 for approximately $6 billion. The acquisition was completed on July 6, 2018, creating a combined entity with a more comprehensive portfolio spanning storage, processing, networking, wireless connectivity, and security. The deal was intended to expand Marvell's addressable market and create a powerhouse in infrastructure solutions. Following the acquisition, Cavium's co-founder Syed Ali joined Marvell's Board of Directors.

Keywords: fabless semiconductor, system-on-a-chip (SoC), multi-core processors, network processors, security processors, MIPS architecture, ARM architecture, data center solutions, infrastructure solutions, Marvell acquisition

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Investments by Cavium

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MontaVista Software
ACQUISITION by Cavium Nov 2009
QLogic
ACQUISITION by Cavium Jun 2016
Wavesat
ACQUISITION by Cavium Feb 2011
Celestial Semiconductor
ACQUISITION by Cavium Jan 2011
W&W Communications
ACQUISITION by Cavium Nov 2008
Xpliant
ACQUISITION by Cavium Jul 2014
Brecis Communications
ACQUISITION by Cavium Aug 2004