Onsemi is in talks to acquire chip startup Ferric for about $1 billion, The Information reported on Oct. 27 local time.
The Information, citing sources, said the deal could be completed within days, though terms could change or the talks could fall through.
The structure of the deal was not disclosed. The Information said it could include terms under which Ferric is paid based on meeting performance targets.
Rival Analog Devices agreed in May to buy Empower Semiconductor, a startup developing devices that improve power efficiency for AI chips, for $1.5 billion.
Onsemi provides semiconductors that manage power for vehicles, factories and AI data centres. As electricity consumption in data centres rises, chip companies are looking for new technologies that can deliver power to chips without power loss, The Information said.
Onsemi posted revenue of $6 billion last year and has recently accelerated efforts to expand its business scope. In October, it agreed to buy listed company Synaptics for $5.7 billion in cash. The Information said the Synaptics deal could allow Onsemi to expand sales of sensors and processors for smart devices.
Chi-gyu Hwang
delight@d-today.co.kr