onsemi vs Texas Instruments: Revenue, Profit and Business Model
onsemi reported $6B of revenue in FY2025 and $121M of net income. Texas Instruments reported $17.7B of revenue in FY2025 and $5B of net income.
Latest financial snapshot
onsemi
- Latest revenue
- $6B (FY2025)
- Net income
- $121M
- Net margin
- 2.0%
- Revenue growth
- +4.9% a year, FY2016–FY2025
Texas Instruments
- Latest revenue
- $17.7B (FY2025)
- Net income
- $5B
- Net margin
- 28.3%
- Revenue growth
- +3.2% a year, FY2016–FY2025
Financial summary
onsemi
onsemi's revenue peaked at $8.33 billion in 2022, held at $8.25 billion in 2023, then fell to $7.08 billion in 2024 and $5.995 billion in 2025 as automotive and industrial customers cut inventory. GAAP net income dropped from $1.57 billion in 2024 to $121.0 million in 2025, though the company still generated about $1.4 billion of free cash flow and spent all of it on buybacks. In 2026 revenue recovered to $1.51 billion in Q1 and $1.604 billion in Q2, with Q2 GAAP net income of $226.8 million, non-GAAP gross margin of 39.3% and $425 million of free cash flow. Guidance for Q3 2026 was $1.65 billion to $1.75 billion of revenue.
Texas Instruments
TI's revenue fell from a $20.03 billion peak in 2022 to $15.64 billion in 2024 during an industry inventory correction, then recovered to $17.68 billion in 2025 with net income of $5.00 billion. The upturn accelerated in 2026: Q2 revenue reached $5.46 billion, operating profit rose 48% to $2.31 billion and net income rose 53% to $1.98 billion. With heavy fab spending past its peak, trailing 12-month free cash flow climbed to $6.5 billion from $1.8 billion a year earlier. TI guided Q3 2026 revenue to $5.65-$6.15 billion.
Revenue and profit by year
onsemi
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $6B | $121M | 2.0% | -15.3% | Source |
| FY2024 | $7.1B | $1.6B | 22.2% | -14.2% | Source |
| FY2023 | $8.3B | $2.2B | 26.5% | -0.9% | Source |
| FY2022 | $8.3B | $1.9B | 22.8% | +23.5% | Source |
| FY2021 | $6.7B | $1B | 15.0% | +28.3% | Source |
| FY2020 | $5.3B | $234.2M | 4.5% | -4.8% | Source |
| FY2019 | $5.5B | $211.7M | 3.8% | -6.1% | Source |
| FY2018 | $5.9B | $627.4M | 10.7% | +6.0% | Source |
| FY2017 | $5.5B | $810.7M | 14.6% | +41.9% | Source |
| FY2016 | $3.9B | $182.1M | 4.7% | — | Source |
Texas Instruments
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $17.7B | $5B | 28.3% | +13.0% | Source |
| FY2024 | $15.6B | $4.8B | 30.7% | -10.7% | Source |
| FY2023 | $17.5B | $6.5B | 37.2% | -12.5% | Source |
| FY2022 | $20B | $8.7B | 43.7% | +9.2% | Source |
| FY2021 | $18.3B | $7.8B | 42.4% | +26.9% | Source |
| FY2020 | $14.5B | $5.6B | 38.7% | +0.5% | Source |
| FY2019 | $14.4B | $5B | 34.9% | -8.9% | Source |
| FY2018 | $15.8B | $5.6B | 35.4% | +5.5% | Source |
| FY2017 | $15B | $3.7B | 24.6% | +11.9% | Source |
| FY2016 | $13.4B | $3.6B | 26.9% | — | Source |
Where the revenue comes from
onsemi
- Power Solutions GroupLargest
Silicon MOSFETs, IGBTs, EliteSiC silicon carbide devices and power modules for automotive, industrial and AI data center power.
- Analog and Mixed-Signal GroupMaterial
Power management, sensor interface, connectivity and application-specific ICs.
- Intelligent Sensing GroupSmallest
CMOS image sensors for automotive driver-assistance and industrial machine vision.
Texas Instruments
- Analog
~78% (2024)
Power management and signal chain chips such as amplifiers, data converters, interface and isolation products. Analog revenue was about $12.16 billion of TI's $15.64 billion in 2024, and it led 2026 growth, rising 22% year over year in Q1 2026.
- Embedded Processing
~16% (2024)
Microcontrollers and processors, including C2000 real-time control MCUs, MSP430 low-power MCUs and automotive radar and processor chips. Revenue was about $2.56 billion in 2024 and grew 12% year over year in Q1 2026.
- Other (DLP, calculators, custom)
~6% (2024)
DLP display and light-steering products, education calculators such as the TI-84 Plus, and custom and legacy products.
Business model and strategy
onsemi
How it makes money
onsemi makes money by selling semiconductors to automakers, tier-1 suppliers, industrial equipment makers and data center power-supply builders, largely through distributors and direct design wins.
Growth strategy
Management is widening onsemi beyond EV traction inverters into AI data center power (aided by the 2025 Qorvo SiC JFET and Aura Vcore deals), industrial and energy infrastructure, and "physical AI" edge devices through the pending Synaptics acquisition. It is also exiting or selling under-used facilities and raising prices to lift factory utilization and margins.
Competitive advantage
onsemi is one of a small group of companies with an in-house silicon carbide supply chain, from boule growth in New Hampshire to wafers and modules, plus long automotive qualification histories and a large automotive image-sensor business. Pairing power and sensing products gives it more content per vehicle and per factory system than single-category rivals.
Texas Instruments
How it makes money
Texas Instruments operates an integrated semiconductor design and manufacturing model, specializing in high-margin analog chips and embedded processing solutions. The company manufactures tens of thousands of differentiated products sold to over 100,000 global customers across the industrial, automotive, personal electronics, communications, and enterprise systems sectors.
Growth strategy
TI's strategy has four parts. First, manufacturing: it has spent heavily on 300mm analog fabs in Richardson (RFAB2), Lehi, Utah (LFAB, bought from Micron in 2021 for $900 million) and Sherman, Texas, where SM1 began production in December 2025, with support from the U.S. CHIPS Act.
Competitive advantage
TI's edge rests on owned, mostly 300mm analog manufacturing, a very broad catalog of long-lived parts, direct reach to customers through ti.com, and a cost structure that let it generate $6.5 billion of free cash flow in the 12 months to June 2026.
Questions about onsemi vs Texas Instruments
Which company has higher revenue — ON Semiconductor Corporation or Texas Instruments Inc.?
ON Semiconductor Corporation reported $6.0B (FY2025), while Texas Instruments Inc. reported $17.7B (FY2025). By last reported revenue, Texas Instruments Inc. is the larger business, with ON Semiconductor Corporation reporting a smaller revenue base.
What is the market cap of ON Semiconductor Corporation vs Texas Instruments Inc.?
ON Semiconductor Corporation's market capitalisation stands at $27.7B, while Texas Instruments Inc.'s is $236.0B. Texas Instruments Inc. carries the higher market valuation, reflecting investors' expectations of its future earnings power relative to ON Semiconductor Corporation.
Which is more financially efficient — ON Semiconductor Corporation or Texas Instruments Inc.?
ON Semiconductor Corporation generates $265k / employee in revenue per employee, while Texas Instruments Inc. generates $536k / employee. Texas Instruments Inc. shows higher revenue efficiency per headcount, though this reflects business model differences — capital-light software companies routinely outperform labour-intensive manufacturers on this metric.
How do ON Semiconductor Corporation and Texas Instruments Inc. make money?
ON Semiconductor Corporation and Texas Instruments Inc. generate revenue in fundamentally different ways. ON Semiconductor Corporation: onsemi makes money by selling semiconductors to automakers, tier-1 suppliers, industrial equipment makers and data center power-supply builders, largely through distributors and direct design wins. Texas Instruments Inc.: Texas Instruments operates an integrated semiconductor design and manufacturing model, specializing in high-margin analog chips and embedded processing solutions.
Which company is valued higher relative to revenue — ON Semiconductor Corporation or Texas Instruments Inc.?
On a price-to-sales (P/S) basis, ON Semiconductor Corporation trades at 4.6x P/S and Texas Instruments Inc. at 13.3x P/S. Texas Instruments Inc. commands a higher revenue multiple, typically indicating that investors expect faster growth or higher future margins compared to ON Semiconductor Corporation. A higher multiple is not inherently better — it may also signal that the stock is priced for perfection.
Is ON Semiconductor Corporation bigger than Texas Instruments Inc.?
By last reported revenue, Texas Instruments Inc. ($17.7B (FY2025)) is the larger company compared to ON Semiconductor Corporation ($6.0B (FY2025)). Revenue scale is one dimension of size — market capitalisation, employee count, and geographic reach are also relevant depending on the context.
Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the onsemi vs Texas Instruments overview