Onsemi in talks to buy chip startup Ferric for about $1 billion

Onsemi is discussing an acquisition of 16-year-old chip startup Ferric for close to $1 billion, reflecting growing demand for technology that manages the power needs of AI chips. Rival Analog Devices agreed in May to buy Empower Semiconductor for $1.5 billion.

• Onsemi-Ferric deal value is close to $1 billion
• Ferric is 16 years old and focuses on power management for AI chips
• Analog Devices agreed to buy Empower Semiconductor for $1.5 billion in May
• Deal structure is unclear and may include performance-based payments