Core Viewpoint - Navitas Semiconductor is positioned for significant growth in the AI infrastructure market, but investors should be prepared for volatility in the short term due to ongoing strategic transitions [2][9]. Company Positioning - Navitas is experiencing a surge in stock price, having increased by 165% in 2025, driven by investor enthusiasm for its power control chips aimed at the AI data center market [2]. - The company is shifting its focus from low-margin consumer device chips to high-margin gallium nitride (GaN) and silicon carbide (SiC) products, which are expected to drive long-term revenue and profit growth [6]. Market Dynamics - There is a significant shortage of power for AI data centers, prompting hyperscalers to seek efficient solutions, which could enhance sales of Navitas' technologies [5]. - Analysts predict a 45% decline in revenue for Navitas in 2025, estimating it will drop to $45 million, followed by a further 21% decrease to $36 million in 2026 [8]. Long-term Outlook - The company is not expected to benefit from the AI data center demand until 2027, with revenue projected to rebound to $66 million in that year and increase by 96% to $130 million in 2028 [8].