While big AI chip stocks like Nvidia have stolen the spotlight, analysts say the AI spending surge is spreading through the wider semiconductor industry. That means some chip companies that don’t make headline AI processors might still benefit as AI becomes part of more products and systems, according to MarketWatch.

Why Non-AI Chip Stocks Matter Now

The early phase of the AI boom focused on the chips that train and run large machine-learning models. But now the spending is moving into other areas, such as:

  • Power management and energy efficiency
  • Sensors and real-world data capture
  • Mixed-signal processing used in cars, factories, devices, and networks

These parts don’t run AI by themselves, but they are essential for making AI systems work smoothly and efficiently. That broader demand could help lift companies that supply these kinds of chips.

Six Non-AI Chip Stocks to Watch

Here are six semiconductor companies analysts say could benefit as AI adoption widens beyond core AI processors:

1. Texas Instruments (TXN): A leader in analog and mixed-signal chips, often used in industrial systems, automotive electronics, and data-center power control. Its steady business and dividend make it attractive to investors.

2. Broadcom (AVGO): Makes chips used in networking gear, servers, and storage systems — hardware that supports AI infrastructure. Broadcom’s diverse product mix gives it multiple growth avenues.

3. NXP Semiconductors (NXPI): Focuses on secure chips for vehicles, mobile devices, and edge computing. As AI is used more in cars and smart equipment, NXP’s role could grow.

4. Analog Devices (ADI): Produces sensors and converters that turn real-world signals into digital data. These are important in automation, healthcare tech, and systems that use AI at the edge.

5. Microchip Technology (MCHP): Offers microcontrollers and analog components used widely in industrial and automotive electronics — areas where AI features are being added.

6. ON Semiconductor (ON): Makes power management and sensing chips used in energy-efficient systems, data centers, and electric vehicles.

Why These Stocks Could Benefit

Analysts say the AI boom isn’t just about the most powerful chips. It’s also about the supporting technologies that help systems run efficiently:

  • AI systems need efficient power delivery, which boosts demand for power-related chips.
  • Sensors and converters are needed for AI to interact with the real world — for example, in robotics, autonomous driving, and industrial monitoring.
  • Mixed-signal chips help bridge the gap between analog environments and digital AI systems.

Because these companies serve a range of end markets — not just AI data centers — they may show steadier growth if tech spending shifts between sectors.

What Investors Should Watch

Even though these stocks have potential, analysts warn investors to pay attention to:

  • Macro conditions: A slowdown in global spending can hit chip demand.
  • Supply-chain issues: Disruptions could delay production or deliveries.
  • Customer demand cycles: Automotive and industrial orders can be uneven.
  • Competition: The semiconductor industry remains highly competitive, with pricing pressure and rapid product cycles.

Still, because many of these companies sell into multiple markets, they could be better positioned than pure AI chipmakers if spending patterns shift.

The next phase of AI growth may not be led only by the chips that make headlines. As companies and industries adopt AI more broadly, the demand for supporting technologies like analog, power-management, and sensor chips grows too.

For investors who want exposure to the AI trend without betting only on high-volatility AI processors, these six non-AI chip stocks may offer a blend of growth potential and relative stability.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

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