Power semiconductor manufacturers implement stepped price hikes as AI-driven data center power module demand explodes; backlog-constrained output.

Power semiconductors are entering another round of price increases as AI-driven power consumption surges, positioning them as the industry's next major growth driver following storage.

"Our AI-related power supply orders are completely overflowing—we simply cannot keep up with demand," a power semiconductor manufacturer told the China Science and Innovation Daily. As one of the few domestic manufacturers with mass production capabilities, the company supplies both primary power systems (such as 800V HVDC for data centers) and secondary power supplies for servers to multiple leading customers, all in volume production. This has created exceptionally strong order demand.

Industry observers expect the current cost-driven price cycle to persist, with the market consolidating around leading chip companies. Those with integrated IDM capabilities or deep partnerships with upstream suppliers—particularly those focused on high-growth segments—will capture increased market share. The sector is simultaneously accelerating the phase-out of low-end power device production capacity across the industry.