Chip Giant Marvel Israel Lays Off Dozens of Employees
Translated & summarized from Calcalist by baba
American chip company Marvel is laying off dozens of its approximately 500 employees in Israel. The layoffs are a targeted decision affecting one engineering team, not a general company-wide cut. Marvel, which specializes in data center connectivity chips, has been operating in Israel for over 25 years and plans to continue expanding its development centers there.
The story in 5 lines · by baba
- Marvel Israel is laying off dozens of its 500 employees in a targeted engineering team reduction.
- The layoffs are a specific decision, not part of a broader company-wide wave of cuts.
- Marvel specializes in connectivity chips for data centers and recently announced a $115 billion Lumentum acquisition.
- The company's market cap is around $150 billion, down from a peak of $280 billion.
- Marvel has operated in Israel for over 25 years and is committed to future expansion.
American chip company Marvel is laying off dozens of employees in Israel, out of approximately 500 workers employed at its local development centers. This is not part of a broader company-wide reduction but a specific decision affecting one of the engineering teams operating in Israel. Marvel's operations in Israel are divided between development centers in Petah Tikva and Yokneam, built upon several local companies acquired over the years. The global development activities at Marvel are managed by Israeli CTO Noam Mizrahi, who joined the company from Galileo, which was acquired for $2.7 billion. Marvel specializes primarily in connectivity chips for data centers and recently announced a major $115 billion deal to acquire Lumentum. Marvel itself is traded on Wall Street with a market capitalization of about $150 billion, having recently declined along with other chip stocks. In June, it approached a valuation of $280 billion, and Nvidia CEO Jensen Huang predicted it would be the next company to join the trillion-dollar club, a forecast that has not yet materialized. Marvel stated in response, "As part of an ongoing effort to align resources with evolving business needs, we are reducing positions within one of our engineering teams. These changes affect a small portion of Marvel Israel's overall engineering array. Marvel has operated in Israel for over 25 years and is committed to continuing to expand its development center operations in Israel."