Analog Devices in Talks to Buy AI Power Chip Startup for $1.5 Billion

Chipmaker Analog Devices is in advanced talks to buy startup Empower Semiconductor for about $1.5 billion, in a deal that reflects demand for technology that can manage the intense energy needs of AI chips, according to people familiar with the discussion.

The acquisition of the 12-year-old startup would expand Analog Devices’ portfolio of chips that support AI, whose complex workloads require massive amounts of energy. Chipmakers like Analog have been striving to deliver electricity to a chip without wasting much of it. Empower’s devices helps AI chips manage electricity to be more efficient.