Onsemi (Nasdaq: ON) Chief Executive Hassane El-Khoury has confirmed that the AI data center segment remains the company's fastest-growing business, signaling a significant acceleration in demand for its power solutions. The company now expects revenue from this specific operation to more than double in 2026, a projection that underscores the robust market traction of its intelligent power portfolio and expanding customer adoption across the power tree. This growth trajectory highlights the critical role semiconductor power management plays in supporting the infrastructure demands of artificial intelligence applications.

The announcement reflects a strategic shift in Onsemi's revenue composition, with AI-related workloads driving disproportionate growth compared to other segments. El-Khoury emphasized that the doubling of revenue is not merely a function of volume but also demonstrates the depth of customer integration within the power tree. This indicates that clients are increasingly relying on Onsemi's components for core power delivery and management tasks within their data center architectures.

Strategic Implications

The expectation of more than doubling revenue in 2026 suggests that Onsemi is successfully capturing value from the ongoing AI infrastructure build-out. This growth is attributed to the strength of its intelligent power portfolio, which likely includes advanced silicon carbide and gallium nitride technologies essential for high-efficiency power conversion in data centers. The broadening adoption across the power tree implies that Onsemi is winning design-ins at multiple levels of the supply chain, from server boards to rack-level power distribution units.

Market Position

By highlighting the AI data center as the fastest-growing operation, Onsemi positions itself as a key beneficiary of the secular trend toward AI-driven computing. The company's focus on the "power tree" suggests a comprehensive approach to power management, rather than isolated component sales. This holistic strategy may provide competitive advantages in terms of system-level efficiency and reliability, which are critical factors for data center operators investing heavily in AI capabilities. The projected revenue surge serves as a tangible indicator of how deeply embedded Onsemi's technology has become in the evolving landscape of enterprise computing infrastructure.

onsemi plans to announce its financial results for the second quarter ended July 3, 2026, after market close on August 3, 2026. The announcement will provide insights into the company's performance across automotive, industrial, and AI data center end markets. Following the release, onsemi will host a conference call to discuss the quarterly outcomes.

The conference call is scheduled for 5 p.m. Eastern Time on August 3, 2026. Investors and interested parties can participate through a live webcast available on the "Investor Relations" section of the company’s website at http://www.onsemi.com . A re-broadcast of the call will be accessible approximately one hour after the live event and will remain available for 30 days.

Alternatively, participants can join the teleconference by pre-registering online. The company has provided a dedicated link for registration to facilitate access to the call.

onsemi delivers intelligent power and sensing technologies that enable electrification, energy efficiency, safety, and automation. The company is included in the S&P 500® index and operates under the trademark ownership of Semiconductor Components Industries, LLC.

Key Event Details

For further inquiries, Krystal Heaton, Director and Head of Public Relations, and Parag Agarwal, Vice President of Investor Relations & Corporate Development, are available as contacts.