The burgeoning power consumption of AI computing clusters has propelled power semiconductors to the forefront as a burgeoning growth sector within the industry, igniting yet another surge in price escalations. Certain manufacturers have disclosed that their order books for AI-related power supply semiconductors are brimming, with production struggling to keep pace with the soaring demand. Owing to their adeptness in mass production and their entrenched positions within the supply chains of prominent clients, these manufacturers continue to witness a steady influx of orders. Industry experts opine that the price hike cycle, propelled by cost considerations, is poised to endure, hastening the phase-out of low-end production capacities within the sector. Consequently, market share is anticipated to coalesce around leading chip companies endowed with comprehensive IDM (Integrated Device Manufacturer) capabilities, strong upstream supplier relationships, and a foothold in high-growth domains.
