ON Semiconductor Corp. announced an expansion of its strategic collaboration with Geely Auto Group, extending the integration of its EliteSiC silicon‑carbide technology across Geely’s SEA‑S platform to support 900‑volt electric‑vehicle architectures.
The partnership deepens the use of EliteSiC in Geely’s Super Hybrid and other SEA‑S models, allowing higher power density, improved thermal performance, and faster acceleration. The 900‑volt architecture is expected to increase efficiency, extend driving range, and reduce charging times.
The announcement follows ON’s Q4 2025 earnings, where the company reported non‑GAAP EPS of $0.64, beating analyst estimates of $0.62, and revenue of $1.53 billion, an 11.6% decline YoY. The company’s free cash flow of $1.4 billion and 24% free‑cash‑flow margin underscored its liquidity, but a 700‑basis‑point headwind from under‑utilization charges compressed gross margin from 45.3% in Q4 2024 to 38.2% in Q4 2025.
Management highlighted the partnership as part of ON’s broader strategy to focus on high‑margin, high‑technology segments. CEO Hassane El‑Khoury said, "We remain disciplined in our execution and met expectations in the fourth quarter as we saw increasing signs of stabilization in our key markets." CFO Thad Trent added, "We continue to invest in intelligent power and sensing technologies that position us to win in the most critical technology transitions shaping our industry." The collaboration signals ON’s intent to capture a larger share of the growing high‑voltage EV market and to differentiate itself from other silicon‑carbide suppliers.
The partnership also aligns with ON’s AI data‑center business, which generated over $250 million in revenue in 2025, and its automotive revenue, which is constrained by inventory digestion. By securing a broader vehicle portfolio with Geely, ON aims to offset automotive revenue headwinds and accelerate the adoption of its EliteSiC modules.
While the Q4 2025 earnings triggered a 6% drop in after‑hours trading due to slightly below‑consensus revenue guidance for Q1 2026, the expanded collaboration with Geely is viewed as a positive long‑term catalyst that could enhance ON’s competitive positioning and support future revenue growth.
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