Power Integrations has secured a partnership with Nvidia to build its next-generation power delivery systems for AI data centers

Power Integrations has announced today a collaboration with Nvidia to build next-generation power delivery systems for AI data centers. The partnership is part of Nvidia’s initiative to convert AI computing facilities to operate on 800 volts of direct current (VDC).

Nvidia revealed its 800 VDC plan early this year, collaborating with several other firms, such as Infineon of Germany. The project aimed to reduce power loss in large-scale AI data centers. The AI chip maker revealed that shifting from alternating current to direct power distribution at 800 volts in data center facilities would minimize internal transmission losses and improve overall energy efficiency. 

1200V and 1700V PowiGaN chips possess over 98% efficiency

Based in California, Power Integrations specializes in developing high-voltage power conversion chips. The firm will provide gallium nitride (GaN) components built for high efficiency and reliability. According to the company’s press release, the GaN components are specifically designed for the increasing power demands of AI infrastructure. 

PI is using its 1250V and 1700V #PowiGaN technology to satisfy the rising power demands of AI computing. We are collaborating with @NVIDIA to accelerate the transition to 800 VDC power and megawatt-scale racks. https://t.co/SDSRSuq8wV#AIDataCenter #800VDC #AdvancedPowerSolutions pic.twitter.com/BFCVSlAnLR

— Power Integrations (@PwrInt) October 13, 2025

The power solutions firm unveiled its latest 1200V and 1700V PowiGaN chips technology at the 2025 OCP Global Summit in San Jose. The technology is optimized to deliver 800VDC for data center architectures. The latest white paper revealed that the 1250V PowiGaN devices have a higher efficiency than traditional 650V GaN FETs and 1200V silicon carbide (SiC) components, achieving over 98% efficiency. The 1250V PowiGaN also possesses smaller form factors and greater power density. 

Power Integrations’ white paper, revealed at the OCP Global Summit, shows that the chips are designed for primary and auxiliary power supplies to ensure stable and efficient power distribution across the AI server racks. The power solution company also introduced InnoMux 2-EP ICs, which are equipped with integrated 1700V PowiGaN switches. The 1700V PowiGaN devices can support 1000 VDC input voltage while maintaining over 90% system efficiency in fanless, liquid-cooled 800V systems. 

“With rising AI power demands, moving to an 800VDC input simplifies rack design, makes more efficient use of space, and reduces copper usage. We see 1250V and 1700V PowiGaN devices as ideal for main and auxiliary power supplies in high-voltage data centers.”

–Roland Saint-Pierre, vice president of product development at Power Integrations

In an interview with Reuters, Saint-Pierre added that Power Integrations’ track record in automotive-grade GaN devices played a key role in securing the partnership with Nvidia. He noted that the company’s chips are already used in electric vehicles and industrial equipment, where long-term reliability and thermal resilience are critical.

Power Integrations’ stock jumps over 18% today 

The collaboration demonstrates Nvidia’s strategy for tackling AI computing challenges, including energy efficiency. The firm revealed that GPU power demands will continue increasing as AI models become more complex. Power Integrations confirmed that its GaN switches can reduce copper usage, minimize space requirements, and improve overall energy utilization. 

The collaboration announcement triggered Power Integration’s stock surge to over 18% today, while Nvidia gained 2.7%. POWI stock was trading at $40.96, representing an 18.22% rise over the past 24 hours at publication. However, the stock has also experienced a sustained drop in YTD this year, currently at -33.47%, with a year-to-date range of $34.55 to $69.53. Now, investors await to see if the partnership will help boost investor confidence and help the stock regain a positive outlook. 

Nvidia stock, on the other hand, was trading at $188.29 at the time of publication, representing a 2.87% rise over the past 24 hours. The stock has also maintained a positive YTD of +40.16%, showing sustained positive investor confidence in the AI chip maker’s performance. 

Power Integrations is the only supplier of the latest 1250V and 1700V GaN switches in mass production. The firm has deployed over 175 million GaN devices in end-user products such as chargers, EVs, and data centers. 

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