onsemi is acquiring Synaptics in a $7 billion all-stock deal to combine power and sensing technology with edge AI comput

onsemi and Synaptics announced on June 25, 2026 that they have entered into a definitive agreement under which onsemi will acquire Synaptics in an all-stock transaction valued at approximately $7 billion in total enterprise value. Under the terms, Synaptics stockholders will receive 1.350 shares of onsemi common stock for each Synaptics share held at closing. This exchange ratio represents an approximately 19% premium to the volume weighted average closing prices of both companies over the last 10 trading days.

The combination is designed to accelerate onsemi's evolution toward global leadership in intelligent systems by adding Synaptics' differentiated Edge AI compute franchise, human-machine interface solutions, and wireless connectivity portfolio to onsemi's existing capabilities in power and sensing. The companies expect this to position onsemi at the center of what they call Physical AI, with potential to expand onsemi's total addressable market by $30 billion to $243 billion by 2030.

Hassane El-Khoury, President and CEO of onsemi, stated that as artificial intelligence moves from the cloud into the physical world across automotive and industrial applications, systems will need to sense, decide, act and adapt in real time. He described Physical AI as requiring Power, Sense, Connected Compute and Control to work together seamlessly, and said that Synaptics adds the connected compute capabilities needed to capture a significantly larger AI opportunity extending into edge applications.

Rahul Patel, Synaptics President and CEO, characterized the announcement as an important step in accelerating Synaptics' growth and leadership in Edge AI and Physical AI. He noted that combining Synaptics' strengths in AI-native compute, connectivity, and human-machine interface with onsemi's leadership in intelligent power and sensing would allow them to offer customers integrated solutions across every layer of the Edge AI stack.

Both boards of directors have unanimously approved the transaction. Synaptics stockholders will own approximately 12% of the combined company on a fully diluted basis, and one member of the Synaptics Board of Directors is expected to join onsemi's Board of Directors. The transaction is expected to close in mid-2027, subject to Synaptics stockholder approval and required regulatory approvals. Morgan Stanley served as lead financial advisor to onsemi, with J.P. Morgan Securities LLC and legal counsel Skadden, Arps, Slate, Meagher & Flom LLP. Qatalyst Partners was exclusive financial advisor to Synaptics with Baker McKenzie as legal counsel.