ON Semiconductor Acquires Aura's Power Tech for $144M
The strategic deal aims to bolster ON's position in the high-growth market for AI data center power management solutions.
ON Semiconductor (onsemi) is set to acquire Aura Semiconductor's Vcore power technologies in a strategic deal valued at up to $144 million. The acquisition, announced Tuesday, is aimed at strengthening onsemi's footprint in the critical and rapidly expanding market for artificial intelligence data center power management.
The deal includes associated intellectual property licenses and is designed to enhance onsemi's intelligent power solutions portfolio. As AI applications become more demanding, the need for highly efficient power management to maximize compute capacity and minimize energy consumption has become paramount. By integrating Aura's Vcore technologies, , addressing a key challenge in the build-out of AI infrastructure.
"This move underscores our commitment to delivering a full range of differentiated intelligent power solutions for AI data centers," said Sudhir Gopalswamy, group president of the Intelligent Sensing and Analog and Mixed-Signal Group at onsemi. The company is positioning itself to capitalize on the explosive growth in AI by providing the foundational hardware needed to power next-generation computing.
, subject to customary closing conditions. Onsemi has stated that it anticipates a minimal impact on its earnings per share in the first fiscal year following the acquisition, with the deal becoming accretive in subsequent years. of semiconductor companies making targeted purchases to gain technological advantages in high-growth sectors like artificial intelligence.