The move is aimed at expanding the company’s position in intelligent edge systems and to strengthen its capabilities in artificial intelligence (AI)-enabled applications.

Under the terms of the agreement, which has been unanimously approved by the boards of both companies, Synaptics will join onsemi as part of a broader strategy to build integrated solutions spanning power, sensing and computation. The deal is expected to close in mid-2027, subject to regulatory approvals and shareholder consent.

The acquisition will bring Synaptics’ portfolio of edge AI processors, wireless connectivity technologies and human–machine interface solutions into onsemi’s existing business, which is focused on power management and sensor technologies. Together, the companies aim to deliver more comprehensive system-level platforms for applications in automotive, industrial and data centre markets.

The combined business is intended to address the growing demand for systems capable of processing data locally, rather than relying solely on cloud-based computing. Such systems are increasingly required to analyse data, make decisions and respond in real time, capabilities often described as “physical AI”.