ON Semiconductor

ON Semiconductor makes chips that help electric cars run longer and charge faster. Its sensors help machines and cars "see" and react to their surroundings. These products support safer driving and more efficient factories worldwide.

Chips, Sensors, and Power: What ON Semiconductor Sells

• Power Solutions (PSG, 47.3% of revenue): Chips that manage electricity in electric vehicles, solar panels, and industrial machines.
• Analog and Mixed-Signal (AMG, 36.8%): Circuits that process signals for car electronics, factory automation, and energy systems.
• Intelligent Sensing (ISG, 15.9%): Image sensors and detectors that help cars and robots "see" and respond to their environment.
• Foundry and Design Services: Custom chip design and manufacturing for government and specialized clients.
• Actuator Drivers: Components that control camera focus and stabilization in vehicles and industrial equipment.

ON the Move: Growth and Expansion

• Acquired SiC JFET technology from Qorvo US in 2025 to boost power chip offerings.
• Bought East Fishkill, NY chip factory from GlobalFoundries in 2022 to expand manufacturing.
• Divested four wafer plants in 2022 to focus on core products.
• Launched "Fab Right" strategy in 2024, streamlining operations and reducing workforce by 1,200 roles.
• Repurchased 9.1 million shares for $650 million in 2024 as part of capital return plan.

Why ON Semiconductor Stands Out

81.5% of ON Semiconductor’s 2024 sales were outside the US. Its focus on electric vehicles and factory automation aligns with global trends in energy and technology. The company’s manufacturing strategy aims to balance efficiency and flexibility in a changing market.

Five Things You Need to Know

• Revenue was $7.08 billion in 2024, down 14.2% from 2023.
• Power Solutions Group made up 47.3% of 2024 revenue.
• International sales were 81.5% of total revenue in 2024.
• Operating income was $1.77 billion in 2024, down 30.4% year-over-year.
• Gross margin fell to 45.4% in 2024 from 47.1% in 2023.

Bottom Line

ON Semiconductor has shifted its focus to electric vehicles and automation, adapting through acquisitions and operational changes. The company’s broad product mix and global reach support its position in the evolving chip industry.