onsemi Boosts Utilization as AI Data Center Revenue Set to More Than Double - MarketBeat

onsemi is poised for significant growth in its AI data center revenue, which is projected to more than double from $250 million last year to over $500 million this year. This expansion spans high-, me... Read original →

onsemi’s projected doubling of AI data center revenue signals a deepening penetration of power semiconductors in high-performance computing infrastructure. The shift from 1200V SiC to gallium nitride underscores a critical bottleneck in server power delivery, pushing upstream suppliers to accelerate capacity and technology development. Factory utilization climbing to 83% reflects rapid supply chain adaptation, though margin compression is likely without new capex, highlighting a strategic pivot toward operational efficiency. Geopolitical dynamics, especially US-China tech decoupling, are reshaping global semiconductor supply chains, prompting onsemi’s acquisition of Synaptics to bolster AI compute capabilities while maintaining its core power semiconductor business. Competitors such as Infineon and STMicroelectronics may respond with aggressive capacity expansion. Over the next 12–24 months, the power semiconductor segment will face intense competition in both data center and EV applications, with technology evolution and supply chain resilience becoming key differentiators.