ON Semiconductor(ON)

Challenger#9 in Semiconductors

Scottsdale AZ SiC power and image sensors (NASDAQ: ON) ~$6.8B FY2024 revenue; EliteSiC EV powertrains, $4B+ LTSAs, 30K employees, post-destocking recovery competing with Wolfspeed and STMicroelectronics.

Updated March 2026

Company Overview

About ON Semiconductor

ON Semiconductor Corporation (onsemi) is a Scottsdale, Arizona-based intelligent power and sensing technology company — publicly traded on the NASDAQ (NASDAQ: ON) as an S&P 500 Information Technology component — designing and manufacturing silicon carbide (SiC) power semiconductors, intelligent power modules, image sensors, and analog and mixed-signal ICs for electric vehicles, industrial automation, energy infrastructure, and automotive safety applications through approximately 30,000 employees at fabrication facilities in New Hampshire, Oregon, Czech Republic, Slovakia, South Korea, and Malaysia. In fiscal year 2024, ON Semiconductor reported revenues of approximately $6.8 billion (down from the 2023 peak of $8.3 billion) as the EV semiconductor supply chain underwent significant inventory destocking — automakers (Tesla, GM, Ford, Stellantis, European OEMs) who overstocked EV power semiconductors during the 2022-2023 supply shortage worked through accumulated SiC MOSFET inventory rather than placing new orders, creating a revenue trough at ON Semiconductor and competitors (Wolfspeed, STMicroelectronics, Infineon). CEO Hassane El-Khoury's "Intelligent Power" strategy — pivoting onsemi from a broad-based analog/discrete semiconductor company toward automotive and industrial SiC focus — has concentrated the portfolio on the highest-growth, highest-margin applications (EV powertrains consuming 15-20 SiC MOSFETs per vehicle at $100-200/device, versus $5-10 for traditional silicon IGBT modules) where onsemi's EliteSiC MOSFET technology achieves the switching frequency and efficiency that enables smaller battery packs with longer range.

Business Model & Competitive Advantage

ON Semiconductor's intelligent power and sensing model creates competitive advantages through the vertical integration of SiC crystal growth and wafer manufacturing: onsemi operates its own SiC boule crystal growth (transforming silicon carbide powder into 150mm and 200mm diameter SiC wafers through a 1-2 week sublimation process) at its Hudson, New Hampshire facility — providing control over the supply chain upstream of SiC device manufacturing that competitors relying on external SiC wafer suppliers (Coherent, Wolfspeed, Cree's wafer business) cannot match. The long-term supply agreements (onsemi signed $4+ billion in long-term supply agreements with global automakers through 2024 — providing revenue visibility for SiC modules for EV inverters, on-board chargers, and DC-DC converters) create multi-year contracted revenue from automotive customers who committed to onsemi's SiC technology roadmap. The CMOS image sensor portfolio (onsemi's AR0820AT automotive image sensors used in ADAS and autonomous driving camera systems for Level 2 and Level 3 driver assistance) creates a second revenue pillar in automotive sensing alongside power semiconductors — addressing both the power and perception layers of EV and ADAS systems.

Competitive Landscape 2025–2026

In 2025, ON Semiconductor competes in SiC power semiconductors, automotive image sensors, and industrial power modules against Wolfspeed (NYSE: WOLF, 150mm-200mm SiC MOSFET dominant at John Palmour's Durham NC fab), STMicroelectronics (NYSE: STM, SiC power for automotive — major Tesla supplier historically), and Infineon Technologies (XETRA: IFX, CoolSiC MOSFET for EV inverters) for EV powertrain SiC module design wins, industrial solar inverter power device contracts, and ADAS image sensor automotive platform programs. The EV market SiC demand recovery (as EV production volumes recover from 2024 softness and OEM inventory destocking completes in H1 2025) provides the catalyst for onsemi's revenue reacceleration — with long-term supply agreements providing volume visibility as destocking ends. The industrial SiC market (renewable energy inverters for solar, wind, and grid storage requiring high-efficiency power conversion) provides revenue diversification from the automotive SiC cycle. The 2025 strategy focuses on SiC market share defense against Wolfspeed's 200mm capacity ramp, automotive design win conversion from long-term supply agreements to production purchase orders, and industrial power semiconductor new customer wins in solar and industrial motor drive applications.

Revenue
$6800M
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Key Differentiators

Strong Challenger

ON Semiconductor is an established challenger with significant market presence and competitive offerings in Semiconductors.

Enterprise Scale

With $6800M in revenue, ON Semiconductor operates at enterprise scale with proven market validation.

Top 10 Ranked

Ranked #9 in the Semiconductors category, among the industry's best.

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