Analog Devices Inc. agreed to acquire Empower Semiconductor for $1.5 billion in cash, the company announced on May 19, 2026 [1]. The acquisition targets Empower Semiconductor, a privately held firm based in Milpitas, California, that manufactures chips for voltage regulation used in data centers [2].
The deal reflects rising demand for efficient chips to support artificial intelligence (AI) data center infrastructure. "AI infrastructure is fundamentally reshaping how power must be delivered, with energy now the most persistent constraint to scaling next-generation systems," said Vincent Roche, CEO of Analog Devices [1].
Analog Devices, headquartered in Wilmington, Massachusetts, designs and produces chips for industrial, communications, consumer electronics and automotive markets [2]. Empower Semiconductor recently raised over $140 million in Series D funding led by Fidelity in September 2025 [2].
While Roche confirmed the acquisition agreement on May 19, 2026, some final details of the deal are still under negotiation and could change, according to another source [2]. This leaves the possibility that terms may be revised before the transaction closes.
The acquisition aims to strengthen Analog Devices’ footprint in powering AI data center infrastructure through advanced voltage regulation technology developed by Empower. The combination comes amid intense competition to supply chips critical to efficient energy delivery for next-generation computing.
Empower’s specialized chips alleviate power constraints in data centers, a key bottleneck in scaling AI workloads. Analog Devices hopes to leverage Empower’s technology to expand offerings in this fast-growing sector.
The next step will be finalizing the acquisition agreement. Both companies have yet to announce a closing date or regulatory timeline.
