This paper introduces a novel technology for the monolithic integration of GaN-based vertical and lateral devices. This approach is groundbreaking as it facilitates the drive of high-power GaN vertical switching devices through lateral GaN HEMTs with minimal losses and enhanced stability. A significant challenge in this technology is ensuring electrical isolation between the two types of devices. We propose a new isolation method designed to prevent any degradation of the lateral transistor’s performance. Specifically, high voltage applied to the drain of the vertical GaN power FinFET can adversely affect the lateral GaN HEMT’s performance, leading to a shift in the threshold voltage and potentially compromising device stability and driver performance. To address this issue, we introduce a highly doped n⁺ GaN layer positioned between the epitaxial layers of the two devices. This approach is validated using the TCAD-Sentaurus simulator, demonstrating that the n⁺ GaN layer effectively blocks the vertical electric field and prevents any depletion or enhancement of the 2D electron gas (2DEG) in the lateral GaN HEMT. To our knowledge, this represents the first publication of such an innovative isolation strategy between vertical and lateral GaN devices.