Irrational Analysis
Semiconductor Engineer, Engineering-Driven Investment Analysis
Navitas, Infineon, Texas Instruments and STMicroelectronics each have a strong position in GaN and SiC power chips. Navitas is one of only three vendors with integrated-driver GaN and a credible SiC part, so it beats Texas Instruments when customers want dual-source GaN plus SiC. Texas Instruments has top-tier integrated-drive GaN but no SiC. Infineon has competitive GaN and very strong SiC. STMicroelectronics has a good SiC part, with GaN in development. x.comÂ
Infineon is a better pick than STMicroelectronics because data-center power chip demand is set to inflect while its smartphone exposure is much lower. About a fifth of STM's revenue still comes from smartphones, which are vulnerable to soaring memory prices. Rising rack power densities and 800V rollouts should lift demand, and Infineon has very competitive SiC and GaN products. Data-center power chips could top a quarter of Infineon's sales, more counting energy storage. x.com x.comÂ
Infineon, STMicroelectronics and NXP have little value upside left from humanoid robotics after rallying hard on the AI datacenter theme. Infineon's CEO said humanoids could eventually rival AI datacenters as a revenue opportunity, about 20% of sales, yet Infineon saw insider sales this week. Humanoids may create few real bottlenecks: about 60% of parts come from the existing auto supply chain, most value will likely accrue in China and OEMs will integrate vertically, leaving heavy competition. … Show more
Infineon is the Swiss army knife of the power semiconductor space and is worthy of a top position in the portfolio. x.comÂ
Power semiconductors should deliver index-beating returns, though the trade is not early and the easy money was made long ago. The power-semi revenue cycle already started last year, and the ecosystem is broad enough that the whole sector should do well. STMicroelectronics and Infineon are the buys. x.comÂ
Power-semiconductor content per AI server rack is set to rise about 17-fold, from $11,000 at B200 to $191,000 at Feynman, and the market has not seriously priced it in. As racks pass 200kW and power shifts from 48V to 800V DC, every conversion stage needs more power devices. VRMs and PSUs make up nearly 70% of a Feynman rack's content, Infineon's core turf, where its DrMOS and smart power stages are hard to displace. Design-in leads shipments by 12-18 months, so Rubin Ultra orders start now. … Show more
Infineon is a buy at its current multiple, now cheaper than STMicroelectronics', with more exposure to auto and power, while STM has more exposure to satellites. x.comÂ
Silicon carbide's years of oversupply are turning, as China's Yangjie Tech says its capacity is fully booked, per SCMP, a positive sign for Infineon, Wolfspeed and STMicroelectronics. As more makers fail to meet rising demand, orders should also flow to Wolfspeed, whose heavily underutilized New York SiC fab would gain tremendous operating leverage. x.comÂ
STMicroelectronics is a hidden common thread across semiconductors, and the market is waking up to it in 2026. It turns up in silicon carbide and GaN power devices, its STM32 is effectively the MCU standard, and it leads MEMS sensor share. Its chips sit in SpaceX Starlink satellites, AWS data center infrastructure and a humanoid robot shown at NVIDIA's headquarters. A "European semiconductor" label long kept interest lukewarm, but that perception is breaking down fast. x.comÂ
Nvidia's official 800 VDC architecture partners stand to benefit as AI racks move to high-voltage DC power. They span GaN and SiC chipmakers Navitas, STMicroelectronics, onsemi and Infineon; conversion and analog suppliers Alpha & Omega, Power Integrations, Texas Instruments, Analog Devices and Monolithic Power, whose VRM chips are already inside Nvidia GPUs; and rack, building and grid power players Flex, Vertiv, GE Vernova, ABB, Eaton, Schneider Electric and Siemens. x.comÂ