The AI boom is accelerating upgrades in thermal management and power management, and it is also triggering a revolution in voltage regulator module (VRM) architecture, with workloads pushing the industry from doubler-based designs to direct native multi-phase control. Industry insiders say the growing shortage of power components has three main causes: inventory corrections over the past three years that have left stockpiles too low, AI-related applications are surging rapidly, and a shift away from Chinese supply chains is gaining momentum amid geopolitical shifts.
As the AI boom continues, lead times for power semiconductors have lengthened, with some components now taking more than 6 to 9 months to deliver. Prices are also rising, and supply is tightening as raw material costs increase and major global vendors raise prices.
Chip industry sources said that in traditional architectures, power delivery is usually controlled by a single pulse-width modulation (PWM) signal, then routed through a doubler before power is distributed to the CPU or other components.
To handle sudden load changes, AI equipment demands far stricter voltage stability and accuracy, and cannot tolerate power-delivery delays or voltage fluctuations. With the new direct multi-phase independent control architecture, each processor effectively gets its own dedicated independent power channel, ensuring precise and stable voltage distribution for every chip.
Industry sources said the shift to an independent multi-phase voltage distribution architecture is sharply lifting demand for power components and power management ICs. Metal-oxide-semiconductor field-effect transistors (MOSFETs) will be split into multiple smaller-wattage devices to share the load, and demand for MOSFET-and-driver integration will also be strengthened.
Eris Technology Chairman Jonathan Chang has said that AI server and AI PC devices impose extremely strict requirements on components, and customers are no longer focused only on price. Instead, they place a high value on product reliability and low failure rates.
He said power components have moved from a supporting role to the main stage, from optional to indispensable, and quality is more important than it used to be.
IC distribution sources said that components such as capacitors, inductors, and protection devices have long generated low output value and weak gross margins, discouraging many manufacturers from continuing to invest. Some have even closed plants and exited the market.
Recently, the sector has been hit by both shrinking supply capacity and a structural surge in demand, but expanding production takes time. The market remains under-supplied.
In addition, AI servers face severe power and thermal challenges. To reduce transmission losses and maintain stable power delivery, the industry is actively developing vertical power delivery technology, which is also driving new design trends in semiconductor component placement and packaging.
Article translated by Lily Hess and edited by Jack Wu
