onsemi (Nasdaq: ON) announced on Nov. 2, 2026 that it has entered into an agreement to acquire Ferric, Inc., an innovator in integrated voltage regulator (IVR) technology, for USD 600 million in cash, plus up to USD 175 million in contingent consideration tied to the achievement of certain revenue milestones.

Deal Terms Announced

The transaction will be funded with cash on hand and is expected to close by the end of 2026, subject to customary closing conditions.

onsemi stated it expects no meaningful near-term financial impact from the transaction and that the deal is expected to be accretive to the company's long-term revenue growth and gross-margin targets at scale.

Approximately 50 Ferric employees, primarily located in New York and Silicon Valley, are expected to join onsemi as part of the acquisition.

Target Raised for AI Data Center Business

With the acquisition, onsemi is raising its 2030 AI data center revenue target by USD 500 million to greater than USD 3 billion, with acceleration thereafter.

The company said the transaction is expected to be accretive to its long-term revenue growth, gross margin, and EPS targets at scale. "AI power demands are accelerating the transition to IVR," according to the company's announcement.

"The rapid growth of AI is reshaping the requirements for power delivery to increasingly capable and power-intensive processors," said 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."

The Shift Toward Integrated Voltage Regulation

As processor power continues to scale, the industry is moving voltage regulation progressively closer to the processor to reduce losses, increase power density, and respond faster to rapidly changing power demands.

IVRs represent the next step in this evolution by integrating power conversion directly into the processor package or substrate.

Ferric is positioned at the forefront of this transition with IVR technology that integrates the power controller, FETs, inductors and capacitors into a single compact package.

According to the announcement, this architecture reduces board area by 50-70% compared with conventional discrete voltage regulator solutions while delivering more power closer to the processor. As a result, customers can dedicate a greater share of system power to AI compute, improving tokens per watt for increasingly power-intensive processors.

Noah Sturcken, Founder and Chief Executive Officer of Ferric, said, "Ferric was founded to rethink how power is delivered at the point of compute. We believe integrated power architectures will play an increasingly important role in the future of AI data centers. Joining onsemi gives us the scale, manufacturing capabilities, and customer reach needed to accelerate adoption and bring these technologies into the mainstream."

Combining Engineering Talent With Operating Scale

Ferric brings more than a decade of specialized engineering expertise in integrated voltage regulation and advanced magnetics, backed by a portfolio of more than 40 patents.

The acquisition combines Ferric's engineering talent with expertise in magnetics and power conversion with onsemi's productization capabilities, operating scale, and customer relationships.

By combining Ferric's differentiated technology with onsemi's existing capabilities, the acquisition is expected to establish onsemi as a leader in power delivery to next-generation AI processors and advance the commercialization of these technologies at scale.

The company said the deal strengthens its 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.

onsemi also expects multi-year accelerated growth in its IVR business following the 2030 target horizon.

Track the Next Generation of Semiconductor Projects Across the United States

The United States is pouring billions into semiconductor fabs, packaging facilities, and supply chain infrastructure, but which projects are actually moving forward, and which are still stuck on the drawing board? Staying ahead of the pipeline requires more than headlines. It demands verified, project-level intelligence.

The Global Project Tracking (GPT) platform by Blackridge Research gives you a real-time window into semiconductor development across the United States, from site selection and permitting through construction and commissioning. Whether you're targeting equipment suppliers, EPC contractors, or facility service providers, you'll know exactly where the opportunities are before your competitors do.

Every project record is enriched with key stakeholders, timelines, and status updates, so your team can prioritize outreach with precision and confidence.

• Upcoming Projects

• Tender Notices

• Contract Awards

• Projects Under Construction

• Completed Projects

Book a Free Demo today and see how the Global Project Tracking (GPT) platform by Blackridge Research can power your US semiconductor market strategy.