Analog Devices, Inc. announced on September 9, 2026, that it has entered into a definitive agreement to acquire Alif Semiconductor, Inc. The transaction is an all-cash deal valued at $1.35 billion, with the potential for additional consideration of up to $200 million contingent upon future milestones.
Under the terms of the agreement, which has been approved by the Boards of Directors of both companies, Analog Devices will pay the upfront consideration to Alif’s stockholders. The transaction is expected to close before the end of calendar year 2026, subject to the satisfaction of customary closing conditions, including the expiration of the applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976.
Analog Devices describes the acquisition as a strategic move to accelerate the delivery of “Physical Intelligence,” a concept focused on enabling systems to sense, reason, and act locally in real time within the physical world. The company intends to combine Alif’s AI-native fusion processors with its own analog and signal processing portfolio to address complex system-level challenges across various sectors.
Alif Semiconductor, headquartered in Pleasanton, California, specializes in low-power microcontrollers and fusion processors. Its technology is already shipping in production, with design wins across leading consumer and industrial customers. The company’s architecture scales from single-core to multi-core systems featuring integrated neural processing units and advanced graphics acceleration.
PJT Partners is serving as the financial advisor to Analog Devices, while Wachtell, Lipton, Rosen & Katz is acting as legal counsel. For Alif, Qatalyst Partners is the financial advisor, and DLA Piper is the legal counsel.
