Demand surge for power semiconductors reshapes data-center power and cooling, pushing suppliers toward SiC and GaN

The AI compute arms race is forcing data centers to leap from legacy 12V to 48V or even 380V HVDC architectures, directly fueling demand for SiC and GaN power devices. Taiwanese suppliers' pivot into advanced MOSFETs and thermal modules is a defensive move against Infineon and Wolfspeed’s early dominance in wide-bandgap semiconductors. Technically, higher voltage platforms will compel redesigns across PCB layouts, EMI filtering, and liquid-cooling interfaces—raising system complexity. Regulatory pressures, such as the EU’s ERP and U.S. IRA efficiency mandates, have already disqualified inefficient silicon solutions from tenders, effectively raising entry barriers. Over the next 12–24 months, players with vertical SiC substrate integration and automotive-grade validation will dominate premium segments, while fragmented suppliers face exclusion. This power revolution isn’t just about components—it’s a battle for defining the energy architecture of next-gen AI infrastructure.