Analog Devices Inc. (NASDAQ:ADI) said Wednesday it agreed to acquire Alif Semiconductor in an all-cash deal valued at $1.35 billion, expanding its push into artificial intelligence at the edge.
The deal will add Alif’s AI-focused microcontrollers and fusion processors to the company’s portfolio. Analog Devices expects the combination to strengthen its ability to build systems that process data and make decisions locally.
Targets ‘Physical Intelligence’
The company said AI is moving beyond data centers into devices that interact directly with the physical world. These systems must process signals such as motion, sound, vibration and radio waves while managing strict power and latency requirements.
It calls this market “Physical Intelligence.” Alif’s technology supports real-time sensor fusion, low-latency inference and on-device AI. Analog Devices plans to combine those capabilities with its sensing, signal processing, power, connectivity and software portfolio.
