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Can NVTS' Alliance With Microchip Accelerate Its AI Power Growth?
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Key Takeaways
NVTS and Microchip developed an 800V-to-6V reference design with up to 96% peak efficiency.
The design delivers 2,100 watts per cubic inch using NVTS' GaN devices and Microchip's digital controls.
NVTS' high-power markets grew over 50% year over year in the second quarter of 2026.
Navitas Semiconductor (NVTS - Free Report) is expanding its AI data center opportunity through its collaboration with Microchip Technology. The companies have developed an 800V DC-to-6V DC reference design for next-generation AI data center racks. The solution combines Microchip’s digital power control and security technologies with NVTS’ GaN power devices and is aligned with the Open Compute Project’s 800V DC standard. The reference design includes hardware, software and design documentation to help data center developers reduce design time and bring new power systems to market faster.
The reference design uses NVTS’ 650V GaNFast FETs and Microchip’s dsPIC33AK digital signal controllers and TA100 CryptoAuthentication device. The system is designed to deliver up to 96% peak efficiency at full load, with a power density of 2,100 watts per cubic inch. It directly converts 800V DC to 6V DC by combining the 800V-to-50V and 50V-to-6V stages into a single converter. This approach is aimed at improving power conversion efficiency while supporting compact rack power systems.
The collaboration comes as AI data centers require higher power density and more efficient power delivery. Navitas has been focusing on this market as part of its broader shift toward high-power applications. In the second quarter of 2026, NVTS’ high-power markets grew more than 50% year over year, while AI infrastructure is expected to account for more than one-third of total sales by the end of 2026. The company is also working on multiple AI data center programs tied to the transition toward 800V architectures.
The Microchip collaboration could help NVTS strengthen its position as more data center operators adopt 800V power systems. By combining NVTS’ GaN technology with Microchip’s digital control and security capabilities, the companies are offering customers a more complete solution for AI rack power. As 800V adoption expands, the new reference design could help NVTS gain additional design opportunities in the growing AI data center market.
How Competitors Fare Against NVTS
The company faces strong competition from ON Semiconductor (ON - Free Report) and STMicroelectronics (STM - Free Report) in the race to supply high-voltage solutions for AI data centers.
ON is expanding its presence in AI data center power as the industry moves toward 800V DC architectures. The company expects AI data center revenues to more than double in 2026, while silicon carbide revenues from AI data center applications are expected to grow nearly 60% year over year. The company expects its high-voltage revenues to accelerate as data centers adopt 800V DC distribution, increasing demand for its power solutions across the AI power tree.
STMicroelectronics is another semiconductor company gaining from rising AI data center power demand. The company reported 50% year-over-year growth in communication equipment and computer peripherals in the second quarter, supported by its AI-related customer programs. STM is already supplying microcontrollers, high-voltage power and analog products for the power stage of cloud AI systems and is building a pipeline for low-voltage power solutions. The company expects data center revenues to exceed $1 billion in 2026 and $2 billion in 2027 if current trends continue.
NVTS' Price Performance, Valuation & Estimates
Shares of Navitas Semiconductor have rallied 51% year to date compared with the Zacks Electronics – Semiconductors industry’s growth of 31%.
NVTS YTD Price Return Performance
Image Source: Zacks Investment Research
From a valuation standpoint, Navitas Semiconductor trades at a forward price-to-sales ratio of 43.71X, significantly higher than the industry’s average of 4.91X. The Zacks Value Score of F suggests that NVTS stock is overvalued.
NVTS Forward 12-Month P/S Ratio
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Navitas Semiconductor’s 2026 bottom line is pegged at a loss of 14 cents per share. The estimates for 2026 loss per share have remained unchanged over the past 30 days.
View the Zacks #1 Rank List
Image: Bigstock
Can NVTS' Alliance With Microchip Accelerate Its AI Power Growth?
Key Takeaways
Navitas Semiconductor (NVTS - Free Report) is expanding its AI data center opportunity through its collaboration with Microchip Technology. The companies have developed an 800V DC-to-6V DC reference design for next-generation AI data center racks. The solution combines Microchip’s digital power control and security technologies with NVTS’ GaN power devices and is aligned with the Open Compute Project’s 800V DC standard. The reference design includes hardware, software and design documentation to help data center developers reduce design time and bring new power systems to market faster.
The reference design uses NVTS’ 650V GaNFast FETs and Microchip’s dsPIC33AK digital signal controllers and TA100 CryptoAuthentication device. The system is designed to deliver up to 96% peak efficiency at full load, with a power density of 2,100 watts per cubic inch. It directly converts 800V DC to 6V DC by combining the 800V-to-50V and 50V-to-6V stages into a single converter. This approach is aimed at improving power conversion efficiency while supporting compact rack power systems.
The collaboration comes as AI data centers require higher power density and more efficient power delivery. Navitas has been focusing on this market as part of its broader shift toward high-power applications. In the second quarter of 2026, NVTS’ high-power markets grew more than 50% year over year, while AI infrastructure is expected to account for more than one-third of total sales by the end of 2026. The company is also working on multiple AI data center programs tied to the transition toward 800V architectures.
The Microchip collaboration could help NVTS strengthen its position as more data center operators adopt 800V power systems. By combining NVTS’ GaN technology with Microchip’s digital control and security capabilities, the companies are offering customers a more complete solution for AI rack power. As 800V adoption expands, the new reference design could help NVTS gain additional design opportunities in the growing AI data center market.
How Competitors Fare Against NVTS
The company faces strong competition from ON Semiconductor (ON - Free Report) and STMicroelectronics (STM - Free Report) in the race to supply high-voltage solutions for AI data centers.
ON is expanding its presence in AI data center power as the industry moves toward 800V DC architectures. The company expects AI data center revenues to more than double in 2026, while silicon carbide revenues from AI data center applications are expected to grow nearly 60% year over year. The company expects its high-voltage revenues to accelerate as data centers adopt 800V DC distribution, increasing demand for its power solutions across the AI power tree.
STMicroelectronics is another semiconductor company gaining from rising AI data center power demand. The company reported 50% year-over-year growth in communication equipment and computer peripherals in the second quarter, supported by its AI-related customer programs. STM is already supplying microcontrollers, high-voltage power and analog products for the power stage of cloud AI systems and is building a pipeline for low-voltage power solutions. The company expects data center revenues to exceed $1 billion in 2026 and $2 billion in 2027 if current trends continue.
NVTS' Price Performance, Valuation & Estimates
Shares of Navitas Semiconductor have rallied 51% year to date compared with the Zacks Electronics – Semiconductors industry’s growth of 31%.
NVTS YTD Price Return Performance
Image Source: Zacks Investment Research
From a valuation standpoint, Navitas Semiconductor trades at a forward price-to-sales ratio of 43.71X, significantly higher than the industry’s average of 4.91X. The Zacks Value Score of F suggests that NVTS stock is overvalued.
NVTS Forward 12-Month P/S Ratio
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Navitas Semiconductor’s 2026 bottom line is pegged at a loss of 14 cents per share. The estimates for 2026 loss per share have remained unchanged over the past 30 days.
Image Source: Zacks Investment Research
Navitas Semiconductor currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.