Caramelize the Onions: In a skillet over medium-low heat, add olive oil and butter. Once melted, add sliced onions and a pinch of salt. Cook for 12–15 minutes, stirring occasionally until soft and golden. Add brown sugar or honey and cook for another 2 minutes. Remove and set aside.
Cook the Pasta: Bring a pot of salted water to a boil and cook pasta according to package instructions. Reserve 1/2 cup pasta water, then drain.
Cook the Shrimp: In the same skillet, heat olive oil over medium heat. Add shrimp, garlic powder, paprika, salt, and pepper. Cook for 2–3 minutes per side until pink and fully cooked. Remove and set aside.
Make the Sauce: In the skillet, add chili oil and garlic. Cook for 30 seconds until fragrant. Add caramelized onions, broth or pasta water, and cream. Simmer for 2–3 minutes.
Add the Cheeses: Stir in cream cheese until melted and smooth, then add Parmesan. Season with chili flakes, salt, and pepper.
Combine Everything: Add cooked pasta and shrimp to the sauce. Toss until well coated, adding a splash of pasta water if needed to loosen the sauce.
Serve: Plate the pasta and top with extra chili oil, chili flakes, and fresh herbs if desired.