onsemi to Acquire Ferric, Establishing Leadership in Power Delivery for Next-Generation AI Processors
Key Highlights
- ➤onsemi (ON) to acquire Ferric for $600 million cash plus up to $175 million contingent consideration
- ➤2030 AI data center revenue target raised $500 million to greater than $3 billion
- ➤Transaction expected to close by end of 2026, subject to customary closing conditions
- ➤Approximately 50 Ferric employees expected to join onsemi
- ➤Acquisition expected accretive to long-term revenue growth and gross-margin targets at scale
Expert Statements
Hassane El-Khoury, President and CEO of onsemi
“The rapid growth of AI is reshaping the requirements for power delivery to increasingly capable and power-intensive processors.”
Hassane El-Khoury, President and CEO of onsemi
“Combined with onsemi’s broad power portfolio, this strategic acquisition will strengthen our leadership position while expanding our content opportunity and ability to support customers as AI processor architectures continue to evolve.”
Noah Sturcken, Founder and Chief Executive Officer of Ferric
“Ferric was founded to rethink how power is delivered at the point of compute.”
Noah Sturcken, Founder and Chief Executive Officer of Ferric
“We believe integrated power architectures will play an increasingly important role in the future of AI data centers.”
Noah Sturcken, Founder and Chief Executive Officer of Ferric
“Joining onsemi gives us the scale, manufacturing capabilities and customer reach needed to accelerate adoption and bring these technologies into the mainstream.”
News Highlights: * Establishes onsemi as a leader in integrated voltage regulator (IVR) technology with best-in-class power density required for next-generation AI processors * Combines Ferric's engineering talent with expertise in magnetics and power conversion with onsemi's productization capabilities, operating scale and customer relationships * Raises onsemi’s 2030 AI data center revenue target by $500 million to greater than $3 billion, with acceleration thereafter * Expected to be accretive to onsemi’s long-term revenue growth, gross margin, and EPS targets at scale SCOTTSDALE, Ariz., Nov. 02, 2026 (GLOBE NEWSWIRE) -- onsemi (Nasdaq: ON) today announced that it has entered into an agreement to acquire Ferric, Inc., an innovator in integrated voltage regulator (IVR) technology, for $600 million in cash, plus up to $175 million in contingent consideration upon achievement of certain revenue milestones. The acquisition will strengthen onsemi's leadership in power delivery to AI processors by adding differentiated power density, efficiency and transient response capabilities, further enhancing the company's portfolio from grid to core. As a result, onsemi is raising its 2030 AI data center revenue target by $500 million to greater than $3 billion, and expects multi-year accelerated growth in its IVR business thereafter.
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