onsemi Charts Path to Power the Next Decade of Innovation
onsemi outlines a system-level power and sensing roadmap to address a projected $213 billion market as AI moves from data centers to physical machines.
Rhea-AI Summary
onsemi (ON) presented a long-term growth strategy on Sept. 16, 2026, centered on solving power constraints across AI, automotive and industrial markets, targeting a $213 billion total addressable market by 2030.
The company plans to leverage common technology platforms across automotive, industrial, AI data center and emerging applications, moving from individual components to higher-value system solutions. This platform-based approach is expected by the company to expand revenue potential, increase R&D leverage and lessen dependence on any single end market.
onsemi highlighted three core platforms: high-voltage technologies spanning silicon, silicon carbide and gallium nitride including its exclusive vertical GaN; the Treo analog/digital/high-voltage “intelligence layer”; and the Embedded Power Platform, which uses the wafer as the package to tightly integrate multiple devices for higher power density. These capabilities are aimed at enabling “physical AI” systems operating at the edge, beyond the data center.
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Key Figures
- Total addressable market
- $213 billion
- By 2030 across automotive, industrial, AI data center and emerging applications
- Technology platforms
- 3 platforms
- High-Voltage Technologies, Treo and Embedded Power Platform
Historical Context
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onsemi launched a gallium nitride portfolio targeting AI data centers and industrial applications
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onsemi agreed to acquire Synaptics to expand physical AI and connectivity capabilities
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Key Terms
total addressable market financial
power density technical
silicon carbide technical
gallium nitride technical
AI-generated analysis. How Rhea-AI works. Not financial advice.
Company outlines a
SCOTTSDALE, Ariz., Sept. 16, 2026 (GLOBE NEWSWIRE) -- onsemi (NASDAQ: ON) today outlined its long-term growth strategy to lead one of the largest and most consequential technology shifts of the next decade by solving the growing power constraints limiting the advancement of AI, electrification and automation. As these markets converge around common technology requirements, onsemi is leveraging its differentiated portfolio across power and sensing to address a
“Every transformational technology eventually encounters a physical constraint. As AI, electrification and automation continue to scale, power density is emerging as one of the defining engineering challenges of this decade,” said Hassane El-Khoury, President and CEO of onsemi. “The companies that lead in the next era of innovation will be those that can deliver more energy while consuming less space. As that challenge becomes more urgent, power has become a foundational technology layer that will help shape the pace of innovation, economic growth and global competitiveness. We have spent years building deep expertise and a broad portfolio across power and sensing to help customers solve this challenge and enable the next generation of intelligent machines.”
Unlocking a
onsemi sees a
This convergence allows onsemi to deploy common technology platforms across multiple end markets. A high-voltage technology developed for automotive electrification, for example, can also support industrial energy systems and AI data centers. Advances in sensing and connectivity can extend across vehicles, factories, robotics, medical systems and other autonomous applications.
The company expects this platform-based model to increase the revenue potential of its core technologies by moving from individual components to higher-value solutions and system architectures that address a larger share of each customer's design requirements. Through this approach, onsemi can generate greater leverage from its R&D investments, reduce dependence on any single end market or technology cycle, and grow faster than the markets it serves.
“Throughout history, foundational technologies have created outsized value because they enable everything built above them,” El-Khoury said. “Power has become the common denominator across these end markets. For onsemi, that creates opportunities to innovate beyond any market trend, with multiple paths to expand content, gain share and capture more value.”
Solving the Next Challenge: Power Density
Capturing this opportunity requires addressing a growing constraint facing AI infrastructure and other intelligent systems – power density – or the ability to deliver greater performance and capability using less energy and less physical space.
Increasing power density requires electrical, thermal, mechanical and physical performance to be optimized simultaneously. Increasing power typically generates more heat, while reducing system size can make that heat more difficult to remove. Improving efficiency may require new materials, device architectures and integration methods. Historically, these trade-offs forced system designers to make compromises among power, size, cost and thermal performance.
As these challenges become more complex, value increasingly shifts to companies that can optimize across the entire system. onsemi has expanded beyond traditional power semiconductors to build capabilities spanning technologies, products, solutions and systems. onsemi highlighted three technology platforms that will shape the next generation of intelligent systems and drive long-term growth across its key end markets:
- High-Voltage Technologies: The Device Layer
onsemi's high-voltage portfolio spans silicon, silicon carbide (SiC) and gallium nitride (GaN), giving customers a range of options to optimize performance, efficiency, power density and cost. The portfolio includes vertical gallium nitride (vGaN), a differentiated technology, exclusive to onsemi, designed for next-generation high-voltage applications that can increase efficiency, improve switching performance and reduce system size where conventional power technologies are reaching their limits.
- Treo: The Intelligence Layer
Modern systems must do more than convert power. They must monitor operating conditions, communicate across the system, respond to changing loads and protect critical functions in real-time. The Treo platform’s high precision analog, high density digital and high voltage capabilities, enable systems to become more precise, adaptive and autonomous. This allows onsemi to add these capabilities around the power device, increasing the functionality and value within a customer’s system.
- Embedded Power Platform (EPP): The Integration Layer
EPP reimagines the package from passive housing into an active contributor to system performance. By using the silicon wafer itself as the package, EPP enables the seamless integration and interconnection of silicon, SiC and GaN technologies within a highly integrated wafer-level architecture. Multiple devices, including FETs, drivers and controllers, can be embedded together in a single package and co-optimized for electrical, thermal and mechanical performance. This enables complete power-system co-design, allowing electrical, thermal and mechanical characteristics to be evaluated and optimized together from day one. The result is higher power density, improved system performance, reduced development complexity and faster time-to-market.
As customers increasingly seek complete solutions rather than individual components, onsemi solves a larger portion of the customer’s challenge by reducing design complexity and accelerating development across automotive, industrial, AI data center and emerging applications. With this focus on the entire system-level solution, onsemi creates a competitive advantage that is difficult to replicate through individual components alone.
Beyond the Data Center: AI's Next Frontier is the Physical World
While today's AI investments are largely focused on building the infrastructure needed to train and run increasingly sophisticated models, the next phase of growth will occur at the edge, where intelligence moves beyond the data center into machines that interact directly with the physical world.
These physical AI systems must sense, decide, act and adapt safely in real-world environments, in real-time. Whether deployed in a robot, vehicle, factory, medical system or autonomous platform, each system requires four capabilities to operate together:
- Power to provide the energy foundation that enables intelligent systems to operate
- Sense to perceive and understand the physical environment
- Control to execute decisions through precise real-world actions
- Connected Compute to process, share and continuously adapt information at the edge
As this transition happens, many of these same technologies onsemi developed for automotive and industrial applications can be applied to this emerging market. onsemi's ability to combine these capabilities through system-level co-design and optimize performance across the full stack, positions it to deliver differentiated solutions and capture a larger share of the value created by physical AI.
“The most attractive opportunities of the next decade are emerging as markets converge around the same technologies,” El-Khoury said. “The ability to efficiently deliver power, sense the environment and enable intelligent decision-making will define the next generation of intelligent machines. Our differentiated technology platforms enable us to solve power density across the device, intelligence and integration layers in a way no other semiconductor company can, positioning us to expand our content and grow as AI moves from infrastructure into the physical world.”
More Information:
- Shift in AI Power Architecture Expands onsemi’s Opportunity
- Extending onsemi's Automotive Growth Engine to Physical AI
- onsemi's Financial Transformation Gives Way to a New Era of Growth
- Video: onsemi Built to Break the Constraint
- Video: Simbe + onsemi: Autonomous Robotics Through Advanced Imaging
- Video: Siemens KACO and onsemi: Powering the Energy Infrastructure Behind AI
- onsemi Investor Day 2026
About Embedded Power Platform:
- onsemi Introduces the Embedded Power Platform, a Breakthrough Architecture for the AI Era
- Subaru to Evaluate onsemi's Embedded Power Platform for Future EVs
- Media Assets: Embedded Power Platform
- About Embedded Power Platform
- Subaru and onsemi: Strengthening Vehicle Safety and Efficiency
- Video: Embedded Power Platform Transforms Power System Design
- Video: Expert Insights on the Embedded Power Platform
- Video: Go Inside: EPP at Innovation Center Fab
- Technical Documentation: Embedded Power Platform
Caution Regarding Forward-Looking Statements
This press release includes “forward-looking statements,” as that term is defined in Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. All statements, other than statements of historical facts, included or incorporated in this press release could be deemed forward-looking statements, particularly statements about onsemi’s long term growth strategy; forecasts about the pace, scale and direction of technological change and its impact on onsemi’s total addressable market opportunity; statements about onsemi’s ability to capitalize on such an opportunity; and the potential impact of each of the foregoing on onsemi’s operating results and financial condition. Forward-looking statements are often characterized by the use of words such as “believes,” “estimates,” “sees,” “expects,” “projects,” “may,” “will,” “intends,” “plans,” “anticipates,” “targets,” “should,” “would” or similar expressions or by discussions of strategy, plans, expectations, projections or intentions. All forward-looking statements in this document are made based on onsemi’s current expectations, forecasts, estimates and assumptions and involve risks, uncertainties and other factors that could cause results or events to differ materially from those expressed in the forward-looking statements. Certain factors that could affect onsemi’s future results or events are described under Part I, Item 1A “Risk Factors” in the 2025 Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on February 9, 2026 (the “2025 Form 10-K”) and from time to time in onsemi’s other SEC reports. Readers are cautioned not to place undue reliance on forward-looking statements. onsemi assumes no obligation to update such information, which speaks only as of the date made, except as may be required by law.
Investing in onsemi’s securities involves a high degree of risk and uncertainty, and you should carefully consider the trends, risks and uncertainties described in this press release, onsemi’s 2025 Form 10-K and other reports filed with or furnished to the SEC before making any investment decision with respect to onsemi’s securities. If any of these trends, risks or uncertainties actually occurs or continues, onsemi’s business, financial condition or operating results could be materially adversely affected, the trading price of onsemi’s securities could decline, and you could lose all or part of your investment. All forward-looking statements attributable to onsemi or persons acting on onsemi’s behalf are expressly qualified in their entirety by this cautionary statement.
Contacts
Krystal Heaton
Director, Head of Public Relations
onsemi
(480) 242-6943
Krystal.Heaton@onsemi.com
Photos accompanying this announcement are available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/53d56e16-9287-4ed4-a9af-4d87a7f99eb8
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FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What is the $213 billion market opportunity onsemi is targeting by 2030?
onsemi sees a $213 billion total addressable market by 2030 spanning automotive, industrial, AI data center and emerging applications. These sectors increasingly share needs for efficient power conversion, sensing, actuation, control and connectivity, allowing common technology platforms to serve multiple end markets.
How does onsemi describe its high-voltage technology platform?
The high-voltage platform covers silicon, silicon carbide (SiC) and gallium nitride (GaN), including an exclusive vertical GaN (vGaN) technology for next-generation high-voltage applications. This portfolio is intended to increase efficiency, improve switching performance and reduce system size where conventional power technologies are nearing their limits.
What is the Treo platform and what role does it play?
The Treo platform is described as the “intelligence layer,” combining high precision analog, high density digital and high voltage capabilities. It is designed to enable systems to monitor conditions, communicate, respond to changing loads and protect critical functions in real time, adding functionality and value around the core power device.
What is onsemi's Embedded Power Platform (EPP)?
The Embedded Power Platform uses the silicon wafer itself as the package, enabling integration of silicon, SiC and GaN devices such as FETs, drivers and controllers in a single, wafer-level architecture. This approach supports co-optimization of electrical, thermal and mechanical performance, which the company says can raise power density, improve system performance and shorten development time.
How does onsemi position itself for the growth of physical AI at the edge?
onsemi expects AI growth to shift from data center infrastructure to physical systems that sense, decide, act and adapt in real time, such as robots, vehicles, factories and medical systems. The company aims to combine power, sensing, control and connected compute through system-level co-design, applying technologies developed for automotive and industrial markets to these emerging physical AI applications.