ON Semiconductor makes power management chips and image sensors used heavily in electric vehicles, industrial automation and automotive applications, with a particular focus on silicon carbide technology used in EV power systems. Silicon carbide chips can handle higher voltages and temperatures more efficiently than traditional silicon chips, making them increasingly important in electric vehicle powertrains and charging infrastructure as EV adoption grows. The company has repositioned its business over recent years to focus more heavily on automotive and industrial customers, moving away from lower-margin, more commoditized chip categories toward these higher-value applications. ON Semiconductor's revenue is closely tied to electric vehicle production volumes and industrial automation spending, making it sensitive to the pace of EV adoption and automotive manufacturing cycles globally.