Analog Devices, the US chip manufacturer, is negotiating the acquisition of Empower Semiconductor for $1.5 billion in cash. The Silicon Valley company produces voltage regulators for AI processors and data centers. The move responds to the increase in investment in infrastructure for generative artificial intelligence workloads, according to Bloomberg.
Voltage regulators for AI's insatiable appetite ⚡
Empower Semiconductor manufactures voltage regulators that optimize energy efficiency in high-performance processors. Their chips reduce energy losses in data centers, a critical factor when every watt counts to power AI servers. Empower's technology competes with thermal management and power conversion solutions, a segment where demand grows at the pace of generative models.
$1.5 billion for regulated voltage, but not the electricity bills 💡
With this acquisition, Analog Devices ensures that AI processors receive their exact dose of electricity. Perhaps what these chips need is not more voltage, but a regulator to remind them not to consume as if there were no tomorrow. Meanwhile, data centers will continue to demand more energy, and power companies, hopefully, will not raise the price per megawatt on a whim.