Analog Devices is in advanced talks to buy Empower Semiconductor for $1.5 billion in cash, sources say. The deal could be announced as early as Tuesday, but no binding agreement exists yet. Both sides remain silent on the final terms.

Milpitas‑based Empower, which designs voltage‑regulation chips for data centers, recently raised $140 million in a Series D led by Fidelity. The acquisition would broaden Analog Devices’ portfolio in industrial and automotive markets.

Analog Devices, whose shares have surged 54 % this year, currently commands a market cap of $204 billion. A purchase would deepen its presence in power‑management silicon and could drive revenue growth for the next few quarters.

The transaction, if completed, would signal a broader consolidation trend in the semiconductor industry, tightening supply chains and expanding product offerings for both companies' customers.