Onsemi to buy Synaptics in nearly $7 billion all-stock deal to accelerate ‘physical AI’ strategy

Onsemi agreed to acquire Synaptics in an all-stock transaction valued at nearly $7 billion, the chipmaker’s largest deal, aiming to speed its push into “physical AI” by adding connected-compute and software heft. The company said the purchase lifts its total addressable market by roughly $30 billion to $243 billion by 2030 and broadens its intelligent-systems portfolio. Shares of Onsemi fell about 6% after hours, while Synaptics jumped roughly 13%. Synaptics holders will receive 1.35 Onsemi shares for each Synaptics share, and one Synaptics director will join Onsemi’s board. The companies expect the deal to close by mid-2027, pending approvals. The move comes as tech firms intensify AI-focused dealmaking: Qualcomm this week bought infrastructure startup Modular and Salesforce agreed to acquire AI customer-service platform Fin for about $3.6 billion. Onsemi, a major supplier of power and sensing chips and silicon carbide components for autos and EVs, is positioning to capture more AI-at-the-edge demand as customers seek smarter hardware systems.

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